IMA-Daily Update

Gold Production: Agincourt Resources Targets the 400,000

Ounces VolumeBy: Lucky Leonard

PT AGINCOURT Resources will maintain

its gold production in the range of 400,000

ounces this year in line with the high rate

of ore mining.

Agincourt Resource President Director Muliady Sutio said this year's gold

production target was around 400,000

ounces. The target is slightly below the

realization of production and sales last

year which reached 412,000 ounces.

According to him, the level of ore processing company known as the Martabe

Gold Mine will still be high this year.

However, he estimates that the gold

content contained slightly decreased.

"This year our production target is around

400,000 ounces of gold. The volume is

strongly influenced by the ore levels being

mined," he said at the Agincourt Resources mining complex in Batangtoru, South

Tapanuli, Tuesday (8/20/2019).

The ore processed continues to increase

every year. During 2018, the ore processed will reach 5.51 million tons.

In direct proportion to the ore processed,

gold production and sales continue to

increase. The peak occurred last year which increased by 17.0

compared to 2017 as much as 352,000

ounces.

As with gold, gold production continues to increase. Last year, production had

reached 3.31 million ounces.

Gold Production: Agincourt Resources Targets the 400,000

Volume By: Lucky Leonard

will maintain

its gold production in the range of 400,000

ounces this year in line with the high rate

Agincourt Resource President Director Muliady Sutio said this year's gold

production target was around 400,000

ly below the

realization of production and sales last

year which reached 412,000 ounces.

According to him, the level of ore processing company known as the Martabe

Gold Mine will still be high this year.

However, he estimates that the gold

d slightly decreased.

"This year our production target is around

400,000 ounces of gold. The volume is

strongly influenced by the ore levels being

mined," he said at the Agincourt Resources mining complex in Batangtoru, South

Tapanuli, Tuesday (8/20/2019).

The ore processed continues to increase

every year. During 2018, the ore processed

In direct proportion to the ore processed,

gold production and sales continue to

increase. The peak occurred last year which increased by 17.04 percent

compared to 2017 as much as 352,000

As with gold, gold production continues to increase. Last year, production had

Produksi Emas : Agincourt Resources Bidik Volume

400.000 OunceOleh : Lucky Leonard

PT AGINCOURT Resources akan memper

tahankan produksi emasnya di kisaran400.000 ounce pada tahun ini seiring dengan tingginya tingkat penambangan bijih.

Presiden Direktur Agincourt Resource Muliady Sutio mengatakan target produksi emas pada tahun ini sekitar 400.000 ounce. Adapun target tersebut sedikit di bawah realisasi produksi dan penjualan tahun lalu yang mencapai 412.000 ounce.

Menurutnya, tingkat pengolahan bijih perusahaan yang dikenal sebagai TambEmas Martabe tersebut masih akan tinggi pada tahun ini. Namun, pihaknya memperkirakan kadar emas yang terkandung sedikit menurun.

"Tahun ini target produksi kami sekitar 400.000 ounce emas. Volumenya kan sangat dipengaruhi oleh kadar bijih yang ditambang," tuturnya di kompleks pertambangan Agincourt Resources di Batangtoru, Tapanuli Selatan, Selasa (20/8/2019).

Adapun bijih yang diolah terus mengalami kenaikan setiap tahun. Sepanjang 2018, bijih yang diolah tersebut mencapai 5,51 juta ton.

Berbanding lurus dengan bijih yang diolah, produksi dan penjualan emas pun terus meningkat. Puncaknya terjadi pada tahun lalu yang mengalami kenaikan sebesar 17,04 persen dibandingkan dengan 2017 sebanyak 352.000 ounce.

Sama halnya dengan emas, produksi emas pun terus mengalami peningkatan. Pada tahun lalu, produksinya telah mencapai 3,31 juta ounce.

Page 1

Produksi Emas : Agincourt Resources Bidik Volume

400.000 Ounce Lucky Leonard

Resources akan memper-

produksi emasnya di kisaran 400.000 ounce pada tahun ini seiring dengan tingginya tingkat penambangan bijih.

Presiden Direktur Agincourt Resource mengatakan target produksi

emas pada tahun ini sekitar 400.000 ounce. Adapun target tersebut sedikit di bawah realisasi produksi dan penjualan tahun lalu yang mencapai 412.000 ounce.

Menurutnya, tingkat pengolahan bijih perusahaan yang dikenal sebagai Tambang Emas Martabe tersebut masih akan tinggi pada tahun ini. Namun, pihaknya memper-kirakan kadar emas yang terkandung sedikit

"Tahun ini target produksi kami sekitar 400.000 ounce emas. Volumenya kan sangat dipengaruhi oleh kadar bijih yang di-

bang," tuturnya di kompleks pertam-bangan Agincourt Resources di Batangtoru, Tapanuli Selatan, Selasa (20/8/2019).

Adapun bijih yang diolah terus mengalami kenaikan setiap tahun. Sepanjang 2018, bijih yang diolah tersebut mencapai 5,51 juta ton.

lurus dengan bijih yang diolah, produksi dan penjualan emas pun terus meningkat. Puncaknya terjadi pada tahun lalu yang mengalami kenaikan sebesar 17,04 persen dibandingkan dengan 2017 sebanyak

Sama halnya dengan emas, produksi emas us mengalami peningkatan. Pada

tahun lalu, produksinya telah mencapai 3,31

IMA-Daily Update

The Exploration Budget Reaches US$ 25 Million This Year

PT Agincourt Resources has budgeted US$ 25 million for exploration activities this year in order to obtain new reserves that can extend the life of the mine.

Based on the 2018 Agincourt Resources annual report, gold reserves as of 31 December 2018 were 8.1 million ounces and silver reserves were 69 million ounces.

Agincourt Resources Deputy President Director and CEO Tim Duffy said the reserves were expected to be mined for 16 years. However, he continued to explore to extend the life of the mine.

"We can still mine 16 years, but if it can be extended a few more years why not," he said at the Agincourt Resources mincomplex in Batangtoru, South Tapanuli, Tuesday (8/20/2019).

For the exploration activities, the company has budgeted funds of US$ 25 million this year. He said the exploration activities were still according to plan.

"With an exploration budget of up t25 million, we think we are a mining company with the greatest commitment," he said.

Meanwhile, Agincourt Resources President Director Muliady Sutio said the inclusion of the Astra Group as a major shareholder could be an opportunity for better minindevelopment.

According to him, each party has proven expertise. "Astra has strengths inmanufacturing and engineering, while Agincourt Resources also has extraordinary abilities. The principle is how we combine the good ones," he said.

As for last year, Astra entered Agincourt Resources through PT Danusa Tambang Nusantara with 95% ownership. company is...

The Exploration Budget Reaches US$ 25

PT Agincourt Resources has budgeted US$ 25 million for exploration activities this

reserves that

Based on the 2018 Agincourt Resources annual report, gold reserves as of 31 December 2018 were 8.1 million ounces and silver reserves were 69 million ounces.

Agincourt Resources Deputy President EO Tim Duffy said the

reserves were expected to be mined for 16 years. However, he continued to explore to

"We can still mine 16 years, but if it can be extended a few more years why not," he said at the Agincourt Resources mining complex in Batangtoru, South Tapanuli,

For the exploration activities, the company has budgeted funds of US$ 25 million this year. He said the exploration activities

"With an exploration budget of up to US$ 25 million, we think we are a mining company with the greatest commitment,"

Meanwhile, Agincourt Resources President Director Muliady Sutio said the inclusion of the Astra Group as a major shareholder could be an opportunity for better mining

According to him, each party has proven expertise. "Astra has strengths in manufacturing and engineering, while Agincourt Resources also has extra-ordinary abilities. The principle is how we combine the good ones," he said.

Astra entered Agincourt Resources through PT Danusa Tambang Nusantara with 95% ownership. The

Anggaran Eksplorasi Mencapai US$25 Juta pada Tahun Ini

PT Agincourt Resources menganggarkan US$25 juta untuk kegiatan eksplorasi pada tahun ini guna mendapatkan cadangan baru yang bisa memperpanjang umur tambang.

Berdasarkan laporan tahunan 2018 Agincourt Resources, cadangan emas hingga 31Desember 2018 sebanyak 8,1 juta ounces dan cadangan perak sebanyak 69 juta ounces.

Wakil Presiden Direktur dan CResources Tim Duffy mengatakan cadangan tersebut diperkirakan bisa ditambang selama 16 tahun. Namun, pihaknya terus melakukan eksplorasi untuk memperpanjang umur tambang tersebut.

"Kami masih bisa menambang 16 tahun, tapi kalau bisa diperpanjang beberapa tahun lagi mengapa tidak," katanya di kompleks pertambangan Agincourt Resources di Batangtoru, Tapanuli Selatan, Selasa (20/8/2019).

Untuk kegiatan eksplorasi tersebut, pihaknya telah menganggarkan dana senilai US$25 juta pada tahun ini. Dia meksplorasi tersebut masih sesuai rencana.

"Dengan anggaran eksplorasi hingga US$25 juta, kami rasa kami perusahaan tambang dengan komitmen yang paling besar," tuturnya.

Sementara itu, Presiden Direktur Agincourt Resources Muliady Sutio nya Grup Astra sebagai pemegang saham utama bisa menjadi peluang untuk pengembangan tambang yang lebih baik.

Menurutnya, masing-masing pihak memiliki keahlian yang sudah terbukti. "Astra punya kekuatan di manufaktur maupun engineering, sementara Agincourt Resources juga punya kemampuan yang luar biasa. Prinsipnya bagaimana menggabungkan yang bagus," ujarnya.

Adapun pada tahun lalu, Astra masuk ke Agincourt Resources melalui PT Danusa Tambang Nusantara dengan kepemilikan saham mencapai 95%. Perusahaan tersebut merupakan...

Page 2

Anggaran Eksplorasi Mencapai US$25

PT Agincourt Resources menganggarkan US$25 juta untuk kegiatan eksplorasi pada

a mendapatkan cadangan baru yang bisa memperpanjang umur tambang.

Berdasarkan laporan tahunan 2018 Agincourt Resources, cadangan emas hingga 31 Desember 2018 sebanyak 8,1 juta ounces dan cadangan perak sebanyak 69 juta ounces.

Wakil Presiden Direktur dan CEO Agincourt Resources Tim Duffy mengatakan cadangan tersebut diperkirakan bisa ditambang selama 16 tahun. Namun, pihaknya terus melakukan eksplorasi untuk memperpanjang umur

"Kami masih bisa menambang 16 tahun, tapi ng beberapa tahun lagi

mengapa tidak," katanya di kompleks pertam-bangan Agincourt Resources di Batangtoru, Tapanuli Selatan, Selasa (20/8/2019).

Untuk kegiatan eksplorasi tersebut, pihaknya telah menganggarkan dana senilai US$25 juta pada tahun ini. Dia menyatakan kegiatan eksplorasi tersebut masih sesuai rencana.

"Dengan anggaran eksplorasi hingga US$25 juta, kami rasa kami perusahaan tambang dengan komitmen yang paling besar," tutur-

Sementara itu, Presiden Direktur Agincourt Resources Muliady Sutio mengatakan masuk-nya Grup Astra sebagai pemegang saham utama bisa menjadi peluang untuk pengem-bangan tambang yang lebih baik.

masing pihak memiliki keahlian yang sudah terbukti. "Astra punya kekuatan di manufaktur maupun engineering,

mentara Agincourt Resources juga punya kemampuan yang luar biasa. Prinsipnya bagai-mana menggabungkan yang bagus," ujarnya.

Adapun pada tahun lalu, Astra masuk ke Agincourt Resources melalui PT Danusa Tambang Nusantara dengan kepemilikan

. Perusahaan tersebut

IMA-Daily Update

The company is a joint venture between PT

United Tractors Tbk. and PT Pamapersada

Nusantara, both of which are subsidiaries

of PT Astra International Tbk. with 60%

and 40% ownership respectively.

Lucky Leonard

Government Forms Vale Divestment Team

Rangga Prakoso

THE GOVERNMENT formed a team that

handled the divestment of PT ValeIndonesia Tbk shares. The team consists of cross ministries targeted to be formed no later than the end of this August. The shares released by Vale by 20% will mature in October.

The Ministry of Energy and Mineral Resources (ESDM) and Vale havecompleted share valuations. It's just that until now the magnitude of the offered share value has not been made public.

ESDM Ministry's Mineral and Coal Director General Bambang Gatot said the formation of the team was still in the process of entering the names of each ministry.

He hopes the names will be conveyed soon so that the Vale divestment team will move immediately. "We hope that soon it will be possible. This August must be finished," Bambang said in Jakarta, Tuesday (8/20).

Meanwhile the ESDM Ministry's MinDevelopment and Exploitation Director Yunus Saefulhak added that the crossministerial divestment team was tasked with brewing the fate of Vale's shares. said the Ministry of ESDM had formed a team...

The company is a joint venture between PT

United Tractors Tbk. and PT Pamapersada

Nusantara, both of which are subsidiaries

of PT Astra International Tbk. with 60%

and 40% ownership respectively. Editor:

Perusahaan tersebut merupakan perusahaan patungan antara PT United Tractors Tbk. dan PT Pamapersada Nusantara yang samausaha PT Astra International Tbk. dengan kepemilikan saham masingdan 40%. Editor : Lucky Leonard

Government Forms Vale Divestment Team

formed a team that

handled the divestment of PT Vale Indonesia Tbk shares. The team consists of cross ministries targeted to be formed no later than the end of this August. The shares released by Vale by 20% will

The Ministry of Energy and Mineral Resources (ESDM) and Vale have

share valuations. It's just that until now the magnitude of the offered share value has not been made public.

ESDM Ministry's Mineral and Coal Director General Bambang Gatot said the formation of the team was still in the process of

ach ministry.

He hopes the names will be conveyed soon so that the Vale divestment team will move immediately. "We hope that soon it will be possible. This August must be finished," Bambang said in Jakarta, Tuesday (8/20).

Meanwhile the ESDM Ministry's Mineral Development and Exploitation Director Yunus Saefulhak added that the cross-ministerial divestment team was tasked with brewing the fate of Vale's shares. He said the Ministry of ESDM had formed a

Pemerintah Bentuk Tim Divestasi ValeRangga Pr

PEMERINTAH membentuk tim yang me

nangani divestasi saham PT Vale Indonesia Tbk. Tim tersebut terdiri dari lintas kementerian yang ditargetkan terbentuk paling lambat akhir Agustus ini. Adapun saham yang dilepas Vale sebesar 20% dengan jatuh tempo pada Oktober nanti.

Kementerian Energi dan Sumber Daya Mineral (ESDM) maupun Vale telah menyelesaikan valuasi saham. Hanya saja hingga saat ini besaran nilai saham yang ditawarkan belum disampaikan ke publik.

Direktur Jenderal Mineral dan Batu Bara Kementerian ESDM Bambang Gatotmengatakan pembentukan tim masih dalam tahap proses memasukan namamasing-masing kementerian.

Dia berharap nama-nama tersebut segera disampaikan agar tim divestasi Vale segera bergerak. "Kami harapkan segera mungkin. Agustus ini harus selesai," kata Bambang di Jakarta, Selasa (20/8).

Sementara itu Direktur Pembinaan dan Pengusahaan Mineral Kementerian ESDM Yunus Saefulhak menambahkan tim divestasi lintas kementerian itu yang bertugas menggodok nasib saham Vale.kan Kementerian ESDM sudah membentuk tim...

Page 3

Perusahaan tersebut merupakan per-usahaan patungan antara PT United Tractors Tbk. dan PT Pamapersada

-sama menjadi anak usaha PT Astra International Tbk. dengan kepemilikan saham masing-masing 60%

Editor : Lucky Leonard

Pemerintah Bentuk Tim Divestasi Vale Rangga Prakoso

membentuk tim yang me-

nangani divestasi saham PT Vale Indonesia Tbk. Tim tersebut terdiri dari lintas kementerian yang ditargetkan terbentuk paling lambat akhir Agustus ini. Adapun saham yang dilepas Vale sebesar 20%

da Oktober nanti.

Kementerian Energi dan Sumber Daya Mineral (ESDM) maupun Vale telah menye-lesaikan valuasi saham. Hanya saja hingga saat ini besaran nilai saham yang ditawar-kan belum disampaikan ke publik.

Direktur Jenderal Mineral dan Batu Bara rian ESDM Bambang Gatot

mengatakan pembentukan tim masih dalam tahap proses memasukan nama-nama dari

masing kementerian.

nama tersebut segera disampaikan agar tim divestasi Vale segera bergerak. "Kami harapkan segera mungkin. Agustus ini harus selesai," kata Bambang di

Sementara itu Direktur Pembinaan dan Pengusahaan Mineral Kementerian ESDM Yunus Saefulhak menambahkan tim dives-tasi lintas kementerian itu yang bertugas menggodok nasib saham Vale. Dia menutur-kan Kementerian ESDM sudah membentuk

IMA-Daily Update

He said the Ministry of ESDM had formed a team that was tasked with matching Vale's perception with regard to stock valuations. The ESDM and Vale teams have an understanding of the shares calculation.

"Our valuation results are submitted to the cross-ministerial team to be reSo that the governance process," he said.

Yunus said that Vale's stock valuation used a fair market price calculation. There are two methods, namely discounted cash flow for economic benefits during the period from the time the divestment takes place until the end of the mine operation. While the second method is by comparing market data (market data benchmarking). "So we are clear that whatever the government does must benefit the country," he said.

ESDM divestment team conducts valuation based on ESDM Minister Regulation No. 43 of 2018 concerning Procedures for Divestment of Shares and Determination Mechanism of Divestment Share Price in Mineral and Coal Mining BusinessActivities. This regulation is an amendment to the Minister of ESDM Regulation No.9 of 2017.

The latest regulation states that the price of the divestment shares offered to Indonesian participants is calculated based on a fair market value. However, it waemphasized that the fair market price did not take into account mineral or coal reserves except those which could be mined during the validity period of the mining operation.

Vale is an integrated nickel mining and processing company operating in the Sorowako Block, East Luwu Regency, South Sulawesi. The multitrack company based in Brazil has a divestment obligation of 40%. The divestment amount is based on an agreement in the amendment to the 2014 Contract of Work.

He said the Ministry of ESDM had formed a team that was tasked with matching Vale's perception with regard to stock valuations. The ESDM and Vale teams have an understanding of the shares calculation.

valuation results are submitted to the ministerial team to be re-evaluated.

So that the governance process," he said.

Yunus said that Vale's stock valuation used a fair market price calculation. There are two methods, namely discounted cash flow

economic benefits during the period from the time the divestment takes place until the end of the mine operation. While the second method is by comparing market data (market data benchmarking). "So we are clear that whatever the government

t the country," he said.

ESDM divestment team conducts valuation based on ESDM Minister Regulation No. 43 of 2018 concerning Procedures for Divestment of Shares and Determination Mechanism of Divestment Share Price in Mineral and Coal Mining Business Activities. This regulation is an amendment to the Minister of ESDM Regulation No.9 of

The latest regulation states that the price of the divestment shares offered to Indonesian participants is calculated based on a fair market value. However, it was emphasized that the fair market price did not take into account mineral or coal reserves except those which could be mined during the validity period of the

Vale is an integrated nickel mining and processing company operating in the

owako Block, East Luwu Regency, South Sulawesi. The multitrack company based in Brazil has a divestment obligation of 40%. The divestment amount is based on an agreement in the amendment to the 2014

Dia menuturkan Kementerian ESDM sudah membentuk tim terlebih dahulu yang bertugas menyamakan persepsi dengan Vale terkait valuasi saham. Tim ESDM dan Vale telah memiliki kesepahaman mengenai perhitungan saham tersebut.

"Hasil valuasi kami diserahkan ke tim lintas kementerian untuk dievaluasi Supaya prosesnya governance

Yunus menuturkan valuasi saham Vale menggunakan perhitungan harga pasar yang wajar. Ada dua metode yakni atas manfaat ekonomis selama periode dari waktu pelaksanaan divestasi hingga akhimasa berlakunya operasi tambang. Sementara metode kedua dengan perbandingan data pasar (market data benchmarking

yang jelas apa pun yang dilakukan pemerintah harus menguntungkan negara," ujarnya.

Tim divestasi ESDM melakukan valuasi berdasarkan Peraturan Menteri ESDM No. 43 Tahun 2018 tentang Tata Cara Divestasi Saham dan Mekanisme Penetapan Harga Saham Divestasi Pada Kegiatan Usaha Pertambangan Mineral dan Batubara. Peraturan ini merupakan perubahan atas Peraturan Menteri ESDM No.9 Tahun 20

Dalam beleid teranyar itu menyatakan harga saham divestasi yang ditawarkan kepada peserta Indonesia dihitung berdasarkan harga pasar yang wajar (Namun ditegaskan harga pasar yang wajar itu tidak memperhitungkan cadangan mineral atau batubara kecuali yang dapat ditambang selama masa berlaku operasi tambang.

Vale merupakan perusahan tambang dan pengolahan nikel terintegrasi yang beroperasi di Blok Sorowako, Kabupaten Luwu Timur, Sulawesi Selatan. Perusahaan multitambang yang berpusatmemiliki kewajiban divestasi saham sebesar 40%. Besaran divestasi itu berdasarkan kesepakatan dalam amandemem Kontrak Karya di 2014 silam.

Page 4

Dia menuturkan Kementerian ESDM sudah embentuk tim terlebih dahulu yang ber-

tugas menyamakan persepsi dengan Vale terkait valuasi saham. Tim ESDM dan Vale telah memiliki kesepahaman mengenai per-hitungan saham tersebut.

"Hasil valuasi kami diserahkan ke tim lintas kementerian untuk dievaluasi kembali.

governance," ujarnya.

Yunus menuturkan valuasi saham Vale meng-gunakan perhitungan harga pasar yang wajar. Ada dua metode yakni discounted cash flow atas manfaat ekonomis selama periode dari waktu pelaksanaan divestasi hingga akhir masa berlakunya operasi tambang. Sementara metode kedua dengan perbandingan data

market data benchmarking). "Jadi kita yang jelas apa pun yang dilakukan pemerintah harus menguntungkan negara," ujarnya.

Tim divestasi ESDM melakukan valuasi ber-rkan Peraturan Menteri ESDM No. 43

Tahun 2018 tentang Tata Cara Divestasi Saham dan Mekanisme Penetapan Harga Saham Divestasi Pada Kegiatan Usaha Pertambangan Mineral dan Batubara. Peraturan ini merupakan perubahan atas Peraturan Menteri ESDM No.9 Tahun 2017.

Dalam beleid teranyar itu menyatakan harga saham divestasi yang ditawarkan kepada peserta Indonesia dihitung berdasarkan harga pasar yang wajar (fair market value). Namun ditegaskan harga pasar yang wajar itu tidak memperhitungkan cadangan

batubara kecuali yang dapat ditambang selama masa berlaku operasi

Vale merupakan perusahan tambang dan pengolahan nikel terintegrasi yang ber-operasi di Blok Sorowako, Kabupaten Luwu Timur, Sulawesi Selatan. Perusahaan multi-tambang yang berpusat di Brazil itu memiliki kewajiban divestasi saham sebesar 40%. Besaran divestasi itu berdasarkan kesepakatan dalam amandemem Kontrak

IMA-Daily Update

Agreement regarding divestment refers to

Government Regulation No. 77 of 2014 as

the third amendment to PP No. 23 of 2010.

It is stated in the regulation that divest

ment must be carried out no later than

October 14, 2019 or 5 years after the

issuance of PP 77. The amount of

divestment in PP 77 is divided into three

categories that refer to mining activiti

Vale falls into the second category of

mining and refining processing activities.

Therefore the investment obligation is only

40%. In the KK amendment, it was agreed

that Vale must release another 20% of

shares because 20% of Vale's shares have

been listed on the stock exchange and have

been recognized as divestment shares.

Domestic Coal Supply Requirements Have Not Been Revoked Until December 2019

Nanang Wijayanto

THE GOVERNMENT ensured that

regulations regarding the obligation to supply Domestic Market

Obligation (DMO) will continue throughout

the year. The decision whether to continue

the policy or not is still waiting for the

change of the new cabinet.

"Until now there has been no discussion, still until December. Maybe it will be

discussed after the formation of a new

government," said Director General of

Minerals and Coal Ministry of Energy and Mineral Resources (ESDM) Bambang Gatot

Ariyono, in Jakarta, Tuesday (08/20/

2019).

Agreement regarding divestment refers to

Government Regulation No. 77 of 2014 as

o PP No. 23 of 2010.

It is stated in the regulation that divest-

ment must be carried out no later than

October 14, 2019 or 5 years after the

issuance of PP 77. The amount of

divestment in PP 77 is divided into three

categories that refer to mining activities.

Vale falls into the second category of

mining and refining processing activities.

Therefore the investment obligation is only

40%. In the KK amendment, it was agreed

that Vale must release another 20% of

shares because 20% of Vale's shares have

sted on the stock exchange and have

been recognized as divestment shares.♦

Kesepakatan terkait divestasi merujuk pada

Peraturan Pemerintah No. 77 Tahun 2014

sebagai perubahan ketiga PP No. 23 Tahun 2010. Disebutkan dalam beleid itu divestasi

harus dilakukan paling lambat pada 14

Oktober 2019 atau 5 tahun setelah terbit

nya PP 77. Adapun besaran divestasi dalam

PP 77 terbagi dalam tiga kategori yang

merujuk pada kegiatan pertambangan. Vale termasuk dalam kategori kedua yakni

kegiatan pertambangan dan

pemurnian.

Oleh sebab itu kewajiban divestasinya

hanya 40%. Dalam amandemen KK pun

disepakati Vale wajib melepas 20% saham lagi lantaran sudah 20% saham Vale yang

telah tercatat di bursa efek dan telah diakui

sebagai saham divestasi.

Domestic Coal Supply Requirements Have Not Been Revoked Until December 2019

Nanang Wijayanto

ensured that

regulations regarding the company's obligation to supply Domestic Market

Obligation (DMO) will continue throughout

the year. The decision whether to continue

the policy or not is still waiting for the

"Until now there has been no discussion, still until December. Maybe it will be

ormation of a new

government," said Director General of

Minerals and Coal Ministry of Energy and Mineral Resources (ESDM) Bambang Gatot

Ariyono, in Jakarta, Tuesday (08/20/

Kewajiban Pasok Batubara untuk Domestik Belum Dicabut

Hingga Desember 2019Nanang Wijayanto

PEMERINTAH memastikan aturan terkait

kewajiban perusahaan memasok

kebutuhan batubara untuk dalam negeri

(Domestic Market Obligation/DMO) masih akan berlanjut sepanjang t

Keputusan apakah kebijakan tersebut

dilanjutkan atau tidak masih menunggu

pergantian kabinet yang baru.

“Sampai saat ini belum ada pembahasan,

tetap sampai Desember. Mungkin nanti dibahas usai (pembentukan) pemerintahan

baru,” ujar Direktur Jenderal Mineral dan

Batu Bara Kementerian Energi dan Sumber

Daya Mineral (ESDM) Bambang Gatot

Ariyono, di Jakarta, Selasa (20/8/2019).

Page 5

Kesepakatan terkait divestasi merujuk pada

Peraturan Pemerintah No. 77 Tahun 2014

sebagai perubahan ketiga PP No. 23 Tahun 2010. Disebutkan dalam beleid itu divestasi

dilakukan paling lambat pada 14

Oktober 2019 atau 5 tahun setelah terbit-

nya PP 77. Adapun besaran divestasi dalam

PP 77 terbagi dalam tiga kategori yang

merujuk pada kegiatan pertambangan. Vale termasuk dalam kategori kedua yakni

kegiatan pertambangan dan pengolahan

Oleh sebab itu kewajiban divestasinya

hanya 40%. Dalam amandemen KK pun

disepakati Vale wajib melepas 20% saham lagi lantaran sudah 20% saham Vale yang

telah tercatat di bursa efek dan telah diakui

sebagai saham divestasi.♦

Kewajiban Pasok Batubara untuk Domestik Belum Dicabut

Hingga Desember 2019 Nanang Wijayanto

memastikan aturan terkait

kewajiban perusahaan memasok

kebutuhan batubara untuk dalam negeri

(Domestic Market Obligation/DMO) masih akan berlanjut sepanjang tahun ini.

Keputusan apakah kebijakan tersebut

dilanjutkan atau tidak masih menunggu

pergantian kabinet yang baru.

“Sampai saat ini belum ada pembahasan,

tetap sampai Desember. Mungkin nanti dibahas usai (pembentukan) pemerintahan

Jenderal Mineral dan

Batu Bara Kementerian Energi dan Sumber

Daya Mineral (ESDM) Bambang Gatot

Ariyono, di Jakarta, Selasa (20/8/2019).

IMA-Daily Update

According to him, the obligation to allocate coal to the domestic sector is a strategic policy so whether or not it is still awaiting the replacement of a new cabinet. This is in accordance with the direction of President Joko Widodo (Jokowi) that eachinstitution/ministry (K/L) must not change policies before the formation of a new cabinet. "That is according to the direcof the President. The President said there was no strategic policy first," he said.

Meanwhile, Chairman of the Indonesia Mining Institute (IMI) Irwandy Arif hopes that the policy can be continued because it provides certainty in the supply of coal in the country, especially supply for power plants. Even so, the continuation of the regulation does not harm coal business operators. "The DMO policy must be continued so that domestic energy needs are maintained," he said.

As is known, the DMO obligation isregulated in Minister of ESDM Decree No. 23 K/30/MEM/2018. Domestic coal quota is set at 25% of production each year. Holders of the Coal Mining Work Agreement (PKP2B) and Mining Business Permit (IUP) are required to set aside 25% of their production for the allocation of the DMO.

The DMO policy, which began in 2018 yesterday, also covers the benchmark price of coal for PT PLN (Persero). The price is set at USD70 per ton if the reference coal price (HBA) exceeds USD70 per ton. But the benchmark price of USD70 per ton is not valid if the HBA is lower than USD70 per ton.

The coal policy benchmark objective is to protect coal price fluctuations. Because last year the trend of coal prices continued to shot. But in 2019 the trend of coal prices will weaken. This August, the price of coal is monitored at USD72.67 per ton.

According to him, the obligation to allocate coal to the domestic sector is a strategic

still awaiting the replacement of a new cabinet. This is in accordance with the direction of President Joko Widodo (Jokowi) that each institution/ministry (K/L) must not change policies before the formation of a new cabinet. "That is according to the direction of the President. The President said there was no strategic policy first," he said.

Meanwhile, Chairman of the Indonesia Mining Institute (IMI) Irwandy Arif hopes that the policy can be continued because it provides certainty in the supply of coal in the country, especially supply for power plants. Even so, the continuation of the regulation does not harm coal business operators. "The DMO policy must be continued so that domestic energy needs

As is known, the DMO obligation is regulated in Minister of ESDM Decree No. 23 K/30/MEM/2018. Domestic coal quota is set at 25% of production each year. Holders of the Coal Mining Work Agreement (PKP2B) and Mining Business Permit (IUP) are required to set aside 25%

the allocation of the

The DMO policy, which began in 2018 yesterday, also covers the benchmark price of coal for PT PLN (Persero). The price is set at USD70 per ton if the reference coal price (HBA) exceeds USD70 per ton. But

D70 per ton is not valid if the HBA is lower than USD70

The coal policy benchmark objective is to protect coal price fluctuations. Because last year the trend of coal prices continued to shot. But in 2019 the trend of coal prices

August, the price of coal is monitored at USD72.67 per ton. (akr)

Menurutnya kewajiban alokasi batubara untuk domestik merupakan kebijakan strategis sehingga diperpanjang atau tidaknya masih menunggu pergantian kabinet baru. Hal itu sesuai arahan dari PJoko Widodo (Jokowi) bahwa setiap lembaga/kementerian (K/L) tidak boleh mengubah kebijakan sebelum terbentuknya kabinet baru. “Itu sesuai arahan dari Presiden. Pak Presiden bilang tidak ada kebijakan strategis dulu,” ujar dia.

Sementara itu, Ketua Institute (IMI) Irwandy Arif berharap, kebijakan tersebut dapat dilanjutkan karena memberikan kepastian pasokan batubara di dalam negeri khususnya pasokan untuk pembangkit listrik. Meski begitu kelanjutan aturan tersebut tidak merugikan peusaha batubara. “Kebijakan DMO itu harus dilanjutkan supaya kebutuhan energi di dalam negeri tetap terjaga,” tandas dia.

Sebagaimana diketahui, kwajiban DMO diatur dalam Keputusan Menteri ESDM No. 23 K/30/MEM/2018. Kuota batubara dalam negeri ditetapkan sebesar 25% dari produksi setiap tahun. Pemegang Perjanjian Karya Pengusahaan Pertambangan Batubara (PKP2B) dan Izin Usaha Pertambangan (IUP) diwajibkan menyisihkan 25% produksinya untuk alokasi DMO.

Kebijakan DMO yang bergulir sejak 2018 kemarin juga mencakup harga patokan batubara bagi PT PLN (persero). Adapun harga dipatok sebesar USD70 per ton bila harga batubara acuan (HBA) melebihi USD70 per ton. Namun harga patokan USD70 per ton tersebut tidak berlaku apabila HBA lebih rendah dari USD70 per ton.

Adapun tujuan kebijakan patokan harga batubara tersebut guna melindungi fluktuasi harga batubara. Pasalnya tahun lalu tren harga batubara terus melesat. Namun pada 2019 tren harga batubara melemah. Terpantau pada Agustus inisebesar USD72,67 per ton.

Page 6

Menurutnya kewajiban alokasi batubara untuk domestik merupakan kebijakan strategis sehingga diperpanjang atau tidak-nya masih menunggu pergantian kabinet baru. Hal itu sesuai arahan dari Presiden Joko Widodo (Jokowi) bahwa setiap lembaga/kementerian (K/L) tidak boleh mengubah kebijakan sebelum terbentuknya kabinet baru. “Itu sesuai arahan dari Presiden. Pak Presiden bilang tidak ada kebijakan strategis dulu,” ujar dia.

Sementara itu, Ketua Indonesia Mining Institute (IMI) Irwandy Arif berharap, kebijakan tersebut dapat dilanjutkan karena memberikan kepastian pasokan batubara di dalam negeri khususnya pasokan untuk pembangkit listrik. Meski begitu kelanjutan aturan tersebut tidak merugikan pelaku usaha batubara. “Kebijakan DMO itu harus dilanjutkan supaya kebutuhan energi di dalam negeri tetap terjaga,” tandas dia.

Sebagaimana diketahui, kwajiban DMO diatur dalam Keputusan Menteri ESDM No. 23 K/30/MEM/2018. Kuota batubara dalam

an sebesar 25% dari produksi setiap tahun. Pemegang Perjanjian Karya Pengusahaan Pertambangan Batubara (PKP2B) dan Izin Usaha Pertambangan (IUP) diwajibkan menyisihkan 25% pro-duksinya untuk alokasi DMO.

Kebijakan DMO yang bergulir sejak 2018 mencakup harga patokan

batubara bagi PT PLN (persero). Adapun harga dipatok sebesar USD70 per ton bila harga batubara acuan (HBA) melebihi USD 70 per ton. Namun harga patokan USD70 per ton tersebut tidak berlaku apabila HBA lebih rendah dari USD70 per ton.

an kebijakan patokan harga bara tersebut guna melindungi fluktuasi

lnya tahun lalu tren bara terus melesat. Namun pada

2019 tren harga batubara melemah. Ter-pantau pada Agustus ini harga batubara

67 per ton. (akr)

IMA-Daily Update

Mitrabara (MBAP)'s performance eroded by coal

prices decline

PT MITRABARA Adiperdana Tbk's

financial performance was depressed by the decline in coal prices. During the first half of this year, the MBAP-coded issuer's revenue edged down 0.12% to US$ 127.93 million, whereas in the same period the previous year MBAP still pocketed US$ 128.09 million in revenue.

The company's revenue expense also increased to US$ 85.43 million or 25.78% more than the burden in semester 1 of 2018 US$ 67.92 million. As a result their gross profit fell 29.39% to US$ 42.49 million.

Not only that, MBAP sales expenses alincreased from US$ 10.87 million to US$ 15.25 million in the first half of this year. As a result, profit for the year attributable to the parent entity of US$ 16.73 million dropped 51.50% from semester 1 of 2018 net income of US$ 34.50 million.

"The majority of the decline in financial performance is more due to a decrease in coal prices," Chandra Lautan, Secretary of PT Mitrabara Adiperdana told Kontan, Tuesday (8/20).

From January to June this year the company succeeded in producing around 2 million tons or already reached 50% of the 2019 production target. This coal mining issuer set a production target of 4 million tons of coal this year.

Entering the second half of 2019, it will focus on achieving the set production targets. As for their challenges,are currently in a downward trend.

Mitrabara (MBAP)'s performance eroded by coal

Adiperdana Tbk's

financial performance was depressed by the decline in coal prices. During the first

coded issuer's revenue edged down 0.12% to US$ 127.93 million, whereas in the same period the previous year MBAP still pocketed US$

The company's revenue expense also increased to US$ 85.43 million or 25.78% more than the burden in semester 1 of 2018 US$ 67.92 million. As a result their gross profit fell 29.39% to US$ 42.49

Not only that, MBAP sales expenses also increased from US$ 10.87 million to US$ 15.25 million in the first half of this year. As a result, profit for the year attributable to the parent entity of US$ 16.73 million dropped 51.50% from semester 1 of 2018 net income of US$ 34.50 million.

jority of the decline in financial performance is more due to a decrease in coal prices," Chandra Lautan, Secretary of PT Mitrabara Adiperdana told Kontan,

From January to June this year the company succeeded in producing around 2

ons or already reached 50% of the 2019 production target. This coal mining issuer set a production target of 4 million

Entering the second half of 2019, it will focus on achieving the set production targets. As for their challenges, coal prices are currently in a downward trend.

Kinerja Mitrabara (MBAP) tergerus penurunan harga

batubara

KINERJA keuangan PT Mitrabara Adi

perdana Tbk tertekan penurunan harga batubara. Sepanjang semester pertama tahun ini pendapatan emiten berkode saham MBAP ini turun tipis 0,12% menjadi US$ 127,93 juta, padahal pada periode yang sama tahun sebelumnya MBAP masih mengantongi pendapatan US$ 12

Beban pendapatan perusahaan juga meningkat jadi US$ 85,43 juta atau 25,78% lebih besar ketimbang beban pada semester 1 2018 US$ 67,92 juta. Alhasil laba kotor mereka turun 29,39% menjadi US$ 42,49 juta.

Tak hanya itu, beban penjualan MBAP jugmeningkat dari US$ 10,87 juta menjadi US$ 15,25 juta pada paruh pertama tahun ini. Sehingga laba periode berjalan yang dapat diatribusikan pada entitas induk sebesar US$ 16,73 juta anjlok 51,50% dari laba bersih semester 1 2018 US$ 34,50 juta.

“Mayoritas penurunan kinerja keuangan lebih disebabkan penurunan harga batubara,” kata Chandra Lautan, Sekretaris PT Mitrabara Adiperdana pada Kontan, Selasa (20/8).

Dari periode Januari sampai Juni tahun ini perusahaan berhasi memproduksi sekitar 2 juta ton atau sudah mencapai 50% dari target produksi tahun 2019. Emiten pertambangan batubara ini memasang target produksi 4 juta ton batubara pada tahun ini.

Memasuki paruh kedua 2019 pihaknya fokus untuk mencapai target produksi yang sudah ditetapkan. Adapun tantanharga batubara yang berada dalam tren penurunan.

Page 7

Kinerja Mitrabara (MBAP) tergerus penurunan harga

batubara

keuangan PT Mitrabara Adi-

perdana Tbk tertekan penurunan harga batubara. Sepanjang semester pertama tahun ini pendapatan emiten berkode saham MBAP ini turun tipis 0,12% menjadi US$ 127,93 juta, padahal pada periode yang sama tahun sebelumnya MBAP masih mengantongi pendapatan US$ 128,09 juta.

Beban pendapatan perusahaan juga mening-kat jadi US$ 85,43 juta atau 25,78% lebih besar ketimbang beban pada semester 1 2018 US$ 67,92 juta. Alhasil laba kotor mereka turun 29,39% menjadi US$ 42,49

Tak hanya itu, beban penjualan MBAP juga meningkat dari US$ 10,87 juta menjadi US$ 15,25 juta pada paruh pertama tahun ini. Sehingga laba periode berjalan yang dapat diatribusikan pada entitas induk sebesar US$ 16,73 juta anjlok 51,50% dari laba bersih semester 1 2018 US$ 34,50 juta.

s penurunan kinerja keuangan lebih disebabkan penurunan harga batu-bara,” kata Chandra Lautan, Sekretaris PT Mitrabara Adiperdana pada Kontan, Selasa

Dari periode Januari sampai Juni tahun ini perusahaan berhasi memproduksi sekitar 2

sudah mencapai 50% dari target produksi tahun 2019. Emiten pertambangan batubara ini memasang target produksi 4 juta ton batubara pada tahun ini.

Memasuki paruh kedua 2019 pihaknya fokus untuk mencapai target produksi yang sudah ditetapkan. Adapun tantangan mereka saat ini harga batubara yang berada dalam tren

IMA-Daily Update

In order to face the decline in coal prices

they continue to carry out cost efficiencies

in operational activities. For information,

MBAP produces high-quality coal that has a

low ash and sulfur content with calories of

5000 kcal per kg, 5200 kcal per kg, 5400

kcal per kg, and 5700 kcal per kg. For

marketing the issuer coded MBAP share is

selling coal to the domestic and export

markets.

The MBAP export market includes India,

China, the Philippines, South Korea, to

Taiwan, to Japan, New Zealand, Pakistan

and Sri Lanka. For the domestic market,

the company has locked contracts with

Paiton Energy.

While for capital expenditure until June

2019 they have absorbed 41% of total

capital expenditure this year, MBAP has

allocated capital expenditure for building

and infrastructure, machinery, mining

equipment, and supporting mining

operations. Reporter: Ika Puspitasari, Editor:

Azis Husaini

'Unique' Proposal by Minister Airlangga: Revoke DMO & Coal

Royalty! Anastasia Arvirianty, CNBC Indonesia

MINISTER of Industry Airlangga Hartarto

is being publicly highlighted. Not long ago

he made a statement about revoking the

obligation to supply coal for domestic

needs or the Domestic Market Obligation

(DMO), now he issued another statement.

In order to face the decline in coal prices

they continue to carry out cost efficiencies

in operational activities. For information,

quality coal that has a

sulfur content with calories of

5000 kcal per kg, 5200 kcal per kg, 5400

kcal per kg, and 5700 kcal per kg. For

marketing the issuer coded MBAP share is

selling coal to the domestic and export

The MBAP export market includes India,

Philippines, South Korea, to

Taiwan, to Japan, New Zealand, Pakistan

and Sri Lanka. For the domestic market,

the company has locked contracts with

While for capital expenditure until June

2019 they have absorbed 41% of total

ure this year, MBAP has

allocated capital expenditure for building

and infrastructure, machinery, mining

equipment, and supporting mining

Reporter: Ika Puspitasari, Editor:

Guna menghadapi penurunan harga batu

bara mereka terus mel

biaya dalam kegiatan operasional. Sebagai informasi, MBAP memproduksi batubara

berkualitas tinggi yang mempunyai

kandungan abu dan sulfur rendah yakni

dengan kalori 5000 kcal per kg, 5200 kcal

per kg, 5400 kcal per kg, dan 5700 kcal per

kg. Untuk pemasarannya emiten berkode saham MBAP ini menjajakkan batubara ke

pasar domestic dan ekspor.

Adapun pasar ekspor MBAP meliputi India,

China, Filipina, Korea Selatan, ke Taiwan,

ke Jepang, New Zealand, Pakistan, dan Sri

Lanka. Untuk pasar domestiksudah mengunci kontrak dengan Paiton

Energy.

Sementara untuk belanja modal hingga

Juni 2019 mereka sudah menyerap 41%

total belanja modal tahun ini, MBAP

mengalokasikan capex untuk keperluan bangunan dan infrasatruktur, mesin, alat

tambang, dan supporting kegiatan operasi

onal tambang. Reporter: Ika Puspitasari,

Editor: Azis Husaini

'Unique' Proposal by Minister Airlangga: Revoke DMO & Coal

Anastasia Arvirianty, CNBC Indonesia

of Industry Airlangga Hartarto

is being publicly highlighted. Not long ago

he made a statement about revoking the

obligation to supply coal for domestic

needs or the Domestic Market Obligation

(DMO), now he issued another statement.

Usul 'Unik' Menteri Airlangga: Cabut DMO & Royalti Batubara!

Anastasia Arvirianty, CNBC Indonesia

MENTERI Perindustrian Airlangga

Hartarto tengah disorot publik. Belum

lama melontarkan pernyataan soal men

cabut kewajiban pasokan batubara untuk

kebutuhan dalam negeri

Market Obligation (DMO), kini dia menge

luarkan pernyataan lainnya.

Page 8

Guna menghadapi penurunan harga batu-

bara mereka terus melakukan efisiensi

biaya dalam kegiatan operasional. Sebagai informasi, MBAP memproduksi batubara

berkualitas tinggi yang mempunyai

kandungan abu dan sulfur rendah yakni

dengan kalori 5000 kcal per kg, 5200 kcal

per kg, 5400 kcal per kg, dan 5700 kcal per

. Untuk pemasarannya emiten berkode saham MBAP ini menjajakkan batubara ke

pasar domestic dan ekspor.

Adapun pasar ekspor MBAP meliputi India,

China, Filipina, Korea Selatan, ke Taiwan,

ke Jepang, New Zealand, Pakistan, dan Sri

Lanka. Untuk pasar domestik, perseroan sudah mengunci kontrak dengan Paiton

Sementara untuk belanja modal hingga

Juni 2019 mereka sudah menyerap 41%

total belanja modal tahun ini, MBAP

mengalokasikan capex untuk keperluan bangunan dan infrasatruktur, mesin, alat

supporting kegiatan operasi-

Reporter: Ika Puspitasari,

Menteri Airlangga: Cabut DMO & Royalti Batubara!

Anastasia Arvirianty, CNBC Indonesia

Perindustrian Airlangga

Hartarto tengah disorot publik. Belum

melontarkan pernyataan soal men-

cabut kewajiban pasokan batubara untuk

kebutuhan dalam negeri atau Domestic

Market Obligation (DMO), kini dia menge-

luarkan pernyataan lainnya.

IMA-Daily Update

This time, Airlangga suggested that coal royalties be nullified. Especially for coal that will be used for the downstreamization of dimethyl ether (DME) or coal gasification projects.

"As for DME, we have zero royalties," Airlangga said in Jakarta, Tuesday(8/20/2019).

Dimethyl ether or DME is an alternative source of fuel that is now ogled as a substitute for LPG, because one of the advantages of DME is that it is not muchdifferent from LPG.

Regarding the proposal to revoke the DMO, Airlangga also said briefly, what was emphasized was the matter of coal royalties for the benefit of downstreaming.

"Coal DMO, we call it royalties. Especially for coal downstreaming, the royalshould compensate for industrial development," he explained.

Earlier, last week, Airlangga made a quite surprising statement. He proposed to remove the DMO or coal policy for domestic needs, so that the coalgasification project by producing dimethylether could be carried out.

"DME depends on the DMO for coal. From our proposal the DMO was eliminated," Airlangga said in a 2020 RAPBN press conference in Jakarta, Friday (08/16/2019).

Furthermore, he explained, the elimination of the DMO was intended to improve the economic value of coal. Because, Airlangga rate, without the removal of the DMO, the industry is not economical.

"If it is not economical, the choice is that we will still import LPG, while the DME industry cannot be developed. So, we do not have an import substitution program, even though the President asked for import substitution," explained Airlangga.

This time, Airlangga suggested that coal royalties be nullified. Especially for coal that will be used for the down-streamization of dimethyl ether (DME) or

"As for DME, we have zero royalties," Airlangga said in Jakarta, Tuesday

Dimethyl ether or DME is an alternative source of fuel that is now ogled as a substitute for LPG, because one of the advantages of DME is that it is not much

Regarding the proposal to revoke the DMO, Airlangga also said briefly, what was emphasized was the matter of coal royalties for the benefit of downstreaming.

"Coal DMO, we call it royalties. Especially for coal downstreaming, the royalties should compensate for industrial develop-

Earlier, last week, Airlangga made a quite surprising statement. He proposed to

coal policy for domestic needs, so that the coal gasification project by producing dimethyl

"DME depends on the DMO for coal. From our proposal the DMO was eliminated," Airlangga said in a 2020 RAPBN press conference in Jakarta, Friday (08/16/

Furthermore, he explained, the elimination o improve the

economic value of coal. Because, Airlangga rate, without the removal of the DMO, the

"If it is not economical, the choice is that we will still import LPG, while the DME industry cannot be developed. So, we do

have an import substitution program, even though the President asked for import substitution," explained Airlangga.

Kali ini, Airlangga mengusulkan agar royalti batubara dinolkan. Terutama untuk batubara yang akan dimanfaatkan untuk proyek hilirisisasi dimethyl ether (DME) atau gasifikasi batubara.

"Kalau DME, royaltinya kita nolkan," kata Airlangga dijumpai di Jakarta, Selasa (20/8/2019).

Dimethyl ether atau DME adalah salah satu alternatif sumber bahan bakar yang kini dilirik sebagai pengganti LPG, karsatu kelebihan DME adalah sifatnya yang tidak jauh berbeda dengan LPG.

Terkait soal usulannya mencabut DMO, Airlangga pun mengatakan dengan singkat, yang ditekankan adalah soal royalti batubara untuk kepentingan hilirisasi.

"DMO batubara, royaltilah kita menyebutnya. Terutama untuk hilirisasi batubara, royaltinya itu harusnya mengompensasikan untuk pembangunan industri," jelasnya.

Sebelumnya, pada pekan lalu, Airlanggamembuat pernyataan cukup mengejutkan. Ia mengusulkan untuk menghapus kDMO atau batubara untuk kebutuhan dalam negeri, agar proyek gasifikasi batubara dengan memproduksi dimethyl ether bisa dijalankan.

"DME tergantung daripada DMO untuk batubara. Dari kami usulannya DMO itu dihilangkan," ujar Airlangga dalam konferRAPBN 2020, di Jakarta, Jumat (16/8/2019).

Lebih lanjut, ia menjelaskan, penghapusan DMO tersebut ditujukan untuk memperbaiki nilai ekonomis batubara. Sebab, Airlangga menilai, tanpa dihapusnya DMO, industri tidak ekonomis.

"Kalau tidak ekonomis,tetap impor LPG, sementara industri DME tidak bisa terbangun. Maka, kita tidak ada program substitusi impor, padahal Presiden mintanya kan ada substitusi impor," jelas Airlangga.

Page 9

Kali ini, Airlangga mengusulkan agar royalti batubara dinolkan. Terutama untuk batu-bara yang akan dimanfaatkan untuk proyek

methyl ether (DME) atau gasifi-

"Kalau DME, royaltinya kita nolkan," kata Airlangga dijumpai di Jakarta, Selasa (20/8/

Dimethyl ether atau DME adalah salah satu if sumber bahan bakar yang kini

dilirik sebagai pengganti LPG, karena salah satu kelebihan DME adalah sifatnya yang tidak jauh berbeda dengan LPG.

Terkait soal usulannya mencabut DMO, Airlangga pun mengatakan dengan singkat, yang ditekankan adalah soal royalti batu-bara untuk kepentingan hilirisasi.

royaltilah kita menyebut-nya. Terutama untuk hilirisasi batubara, royaltinya itu harusnya mengompensasikan untuk pembangunan industri," jelasnya.

Sebelumnya, pada pekan lalu, Airlangga embuat pernyataan cukup mengejutkan. Ia

mengusulkan untuk menghapus kebijakan DMO atau batubara untuk kebutuhan dalam negeri, agar proyek gasifikasi batubara dengan memproduksi dimethyl ether bisa

"DME tergantung daripada DMO untuk batu-bara. Dari kami usulannya DMO itu dihilang-kan," ujar Airlangga dalam konferensi pers RAPBN 2020, di Jakarta, Jumat (16/8/2019).

Lebih lanjut, ia menjelaskan, penghapusan DMO tersebut ditujukan untuk memperbaiki nilai ekonomis batubara. Sebab, Airlangga menilai, tanpa dihapusnya DMO, industri

"Kalau tidak ekonomis, pilihannya kan kita tetap impor LPG, sementara industri DME tidak bisa terbangun. Maka, kita tidak ada program substitusi impor, padahal Presiden mintanya kan ada substitusi impor," jelas

IMA-Daily Update

Meanwhile, this proposal, he continued, will still be discussed in the future with relevant parties.

"It will be discussed, whether the form of a Presidential Regulation (PP) or another. This is currently under review," concluded Airlangga. (tas/tas)

Measuring the Impact of Declining Coal Prices on Indika's

Performance Parluhutan Situmorang

THE CONTINUING downward trend in

global coal selling prices still pressures the business prospects of PT Indika Energy Tbk (INDY) so far this year. While other businesses have not been able to keep up with the downward trend in the company's coal mining sector.

This prompted Sinarmas Sekuritas to estimate Indika's net profit decline to US$ 29 million this year, compared to last year's US$ 80 million. Likewise, revenue is expected to fall from US$ 2.96 billion to US$ 2.53 billion in 2019.

Sinarmas Sekuritas analyst Richard Suherman said, although the average coal selling price had dropped dramatically until the first semester of 2019, the potential for strengthening had not been seen in the coming months. "We are still cautious about the outlook for the coal sector in the short term. This business is still full of challenges going forward, "he wrote in a study published in Jakarta recently.

Sinarmas Sekuritas sets an average target of the selling price of coal on the global market of around US$ 80 per ton this year and is expected to fall back to US$ 75 per ton by 2020. This increases the likelihood that

Meanwhile, this proposal, he continued, scussed in the future with

"It will be discussed, whether the form of a Presidential Regulation (PP) or another. This is currently under review," concluded

Adapun, usulan ini, lanjutnya, masih akan dibahas ke depannya terkait.

"Lagi akan dibahas, apakah bentuknya Peraturan Presiden (PP) atau yang lain. Ini sedang dalam kajian," pungkas Airlangga. (tas/tas)

Measuring the Impact of Declining Coal Prices on Indika's

Parluhutan Situmorang

downward trend in

global coal selling prices still pressures the business prospects of PT Indika Energy Tbk (INDY) so far this year. While other

inesses have not been able to keep up with the downward trend in the company's

This prompted Sinarmas Sekuritas to estimate Indika's net profit decline to US$ 29 million this year, compared to last year's US$ 80

ue is expected to fall from US$ 2.96 billion to US$ 2.53 billion in

Sinarmas Sekuritas analyst Richard Suherman said, although the average coal selling price had dropped dramatically until the first semester of 2019, the potential for streng-

had not been seen in the coming months. "We are still cautious about the outlook for the coal sector in the short term. This business is still full of challenges going forward, "he wrote in a study published in

average target of the selling price of coal on the global market of around US$ 80 per ton this year and is expected to fall back to US$ 75 per ton by

This increases the likelihood that...

Menakar Dampak Penurunan Harga Batubara terhadap

Kinerja IndikParluhutan Situmorang

BERLANJUTNYA tren pelemahan harga jual

batubara global masih menekan prospek usaha PT Indika Energy Tbk (INDY) sepanjang tahun ini. Sedangkan bisnis lainnya juga belum mampu mengimbangi tren penurunan sektor pertambangan batubara p

Hal ini mendorong Sinarmas Sekuritas untuk memperkirakan penurunan laba bersih Indika menjadi US$ 29 juta tahun ini, dibandingkan raihan tahun lalu sebesar US$ 80 juta. Begitu juga dengan pendapatan diperkirakan turun dari US$ 2,96 miliar menjadi US$ 2,53 miliar pada 2019.

Analis Sinarmas Sekuritas Richard Suherman mengatakan, meskipun ratabatubara telah turun drastis hingga semester I-2019, potensi penguatan belum terlihat dalam beberapa bulan mendatang. “Kami masih berhati-hati terhadap batubara dalam jangka pendek. Bisnis ini masih penuh tantangan ke depan,” tulisnya dalam riset yang diterbitkan di Jakarta, belum lama ini.

Sinarmas Sekuritas mematok target rataharga jual batubara di pasar global sekitar US$ 80 per ton tahun ini dan diperkirakan kembali turun menjadi US$ 75 per ton pada 2020. Hal ini memperbesar kemungkinan bahwa...

Page 10

Adapun, usulan ini, lanjutnya, masih akan dengan pihak-pihak

"Lagi akan dibahas, apakah bentuknya Peraturan Presiden (PP) atau yang lain. Ini sedang dalam kajian," pungkas Airlangga.

Menakar Dampak Penurunan Harga Batubara terhadap

Kinerja Indika Parluhutan Situmorang

tren pelemahan harga jual

batubara global masih menekan prospek usaha PT Indika Energy Tbk (INDY) sepanjang tahun ini. Sedangkan bisnis lainnya juga belum mampu mengimbangi tren penurunan sektor pertambangan batubara perseroan.

Hal ini mendorong Sinarmas Sekuritas untuk memperkirakan penurunan laba bersih Indika menjadi US$ 29 juta tahun ini, dibandingkan raihan tahun lalu sebesar US$ 80 juta. Begitu juga dengan pendapatan diperkirakan turun dari US$ 2,96 miliar

US$ 2,53 miliar pada 2019.

Analis Sinarmas Sekuritas Richard Suherman mengatakan, meskipun rata-rata harga jual batubara telah turun drastis hingga semester

2019, potensi penguatan belum terlihat dalam beberapa bulan mendatang. “Kami

terhadap outlook sektor batubara dalam jangka pendek. Bisnis ini masih penuh tantangan ke depan,” tulisnya dalam riset yang diterbitkan di Jakarta, belum

Sinarmas Sekuritas mematok target rata-rata harga jual batubara di pasar global sekitar US$ 80 per ton tahun ini dan diperkirakan kembali turun menjadi US$ 75 per ton pada 2020. Hal ini memperbesar kemungkinan bahwa...

IMA-Daily Update

This increases the likelihood that the company's profit rate has not recovered this year due to coal selling prices which has the potential to weaken until the end of this year.

Regarding the financial performance achievement of the first semester of 2019, Richard said, the achievement of Indika's revenue was equivalent to 53.3% of the target we set for this year. While the achievement of net profit reflects 43.1% of the target set by Sinarmas Sekuritas and only 39.6% of the analyst consensus target.

Indika posted a net profit decline of 83.4% from US$ 76.31 million to US$ 12.66 million in the first semester of 2019. The decline is in line with the weakening trend in the company's revenue from US$ 1.44 billion to US$ 1.38 billion. The magnitude of the decline in net profit, compared to revenue was affected by the drop in gross margin (gross margin) from 26.1% to 17%. While net profit margins droppeddramatically from 5.3% to 0.9%.

Sinarmas Sekuritas said that the drop in net profit was in line with the decline in the average selling price of coal on the global market along with an increase in cost of production. This triggered a decrease in the company's profit margins. The decline in the company's profit came from the coal business through PT Kideco Jaya Agung. While other businesses, PT Petrosea Tbk, PT Mitrabahtera Segara Sejati Tbk (MBSS), and PT Tripatra Engineers and Constructors still show a strengthening trend until the end of June 2019. However, the strengthening has not been able to offset the decline in the company's coal business.

These factors pushed Sinarmas Sekuritas to maintain the neutral recommendation of INDY shares with a target price of Rp 1,700. The price target implies an estimated PE for 2020 of around 5.9 times.

This increases the likelihood that the company's profit rate has not recovered this year due to coal selling prices which

potential to weaken until the end of

Regarding the financial performance achievement of the first semester of 2019, Richard said, the achievement of Indika's revenue was equivalent to 53.3% of the target we set for this year. While the

ent of net profit reflects 43.1% of the target set by Sinarmas Sekuritas and only 39.6% of the analyst consensus target.

Indika posted a net profit decline of 83.4% from US$ 76.31 million to US$ 12.66 million in the first semester of 2019. The

n line with the weakening trend in the company's revenue from US$ 1.44 billion to US$ 1.38 billion. The magnitude of the decline in net profit, compared to revenue was affected by the drop in gross margin (gross margin) from 26.1% to 17%.

margins dropped dramatically from 5.3% to 0.9%.

Sinarmas Sekuritas said that the drop in net profit was in line with the decline in the average selling price of coal on the global market along with an increase in cost of production. This triggered a

se in the company's profit margins. The decline in the company's profit came from the coal business through PT Kideco Jaya Agung. While other businesses, PT Petrosea Tbk, PT Mitrabahtera Segara Sejati Tbk (MBSS), and PT Tripatra

still show a strengthening trend until the end of June 2019. However, the strengthening has not been able to offset the decline in the

These factors pushed Sinarmas Sekuritas to maintain the neutral recommendation of

th a target price of Rp 1,700. The price target implies an estimated PE for 2020 of around 5.9 times.

Hal ini memperbesar kemungkinan bahwa tingkat keuntungan perseroan belum pulih tahun ini akibat harga jual batubara yang berpotensi masih melemah sampai phujung tahun ini.

Terkait pencapaian kinerja keuangan perseoran semester I-2019, Richard mengatakan, pencapaian pendapatan Indika tersebut setara dengan 53,3% dari target yang kami tetapkan untuk tahun ini. Sedangkan pencapaian laba bersihnya merefleksikan 43,1% dari target yang yang ditetapkan Sinarmas Sekuritas dan hanya 39,6% dari target konsensus analis.

Indika membukukan penurunan laba bersih sebesar 83,4% dari US$ 76,31 juta menjadi US$ 12,66 juta hingga semester IPenurunan sejalan dengan pendapatan perseroan dari US$ 1,44 miliar menjadi US$ 1,38 miliar. Besarnya penurunan laba bersih, dibandingkan pendapatan di-pengaruhi atas anjloknya margin kotor (gross margin) dari 26,1% menjadi 17%. Sedangkan margin laba bersih (turun drastis dari 5,3% menjadi 0,9%.

Sinarmas Sekuritas menyebutkan bahwa anjloknya perolehan laba bersih sejalan dengan penurunan ratabara di pasar global bersamaan dengan peningkatan beban pokok produksi. Hal ini memicu penurunan margin keuntungan perseroan. Penurunan tingkat keuntungan perseroan datang dari bisnis batubara melalui PT Kideco Jaya Agung. Sedangkan bisnis lainnya, PT Petrosea Tbk, PT Mitrabahtera Segara Sejati Tbk (MBSS), dan PT Tripatra Engineers and Constructorkan tren penguatan hingga akhir Juni 2019. Namun penguatan tersebut belum mampu mengimbangi penurunan bisnis batubara perseoran.

Berbagai faktor tersebut mendorongSinarmas Sekuritas untuk mempertahankan rekomen-dasi netral saham INDY dengtarget harga Rp 1.700. Target harga tersebut mengimplikasikan perkiraan PE tahun 2020 sekitar 5,9 kali.

Page 11

Hal ini memperbesar kemungkinan bahwa tingkat keuntungan perseroan belum pulih tahun ini akibat harga jual batubara yang berpotensi masih melemah sampai peng-

Terkait pencapaian kinerja keuangan per-2019, Richard mengatakan,

pencapaian pendapatan Indika tersebut setara dengan 53,3% dari target yang kami tetapkan untuk tahun ini. Sedangkan pencapaian laba

sikan 43,1% dari target yang yang ditetapkan Sinarmas Sekuritas dan hanya 39,6% dari target konsensus analis.

Indika membukukan penurunan laba bersih sebesar 83,4% dari US$ 76,31 juta menjadi US$ 12,66 juta hingga semester I-2019. Penurunan sejalan dengan tren pelemahan pendapatan perseroan dari US$ 1,44 miliar menjadi US$ 1,38 miliar. Besarnya penu-runan laba bersih, dibandingkan pendapatan

pengaruhi atas anjloknya margin kotor ) dari 26,1% menjadi 17%.

Sedangkan margin laba bersih (net margin) turun drastis dari 5,3% menjadi 0,9%.

Sinarmas Sekuritas menyebutkan bahwa anjloknya perolehan laba bersih sejalan dengan penurunan rata-rata harga jual batu-bara di pasar global bersamaan dengan peningkatan beban pokok produksi. Hal ini

nan margin keuntungan perseroan. Penurunan tingkat keuntungan perseroan datang dari bisnis batubara melalui PT Kideco Jaya Agung. Sedangkan bisnis lainnya, PT Petrosea Tbk, PT Mitrabahtera Segara Sejati Tbk (MBSS), dan PT Tripatra Engineers and Constructors masih menunjuk-kan tren penguatan hingga akhir Juni 2019. Namun penguatan tersebut belum mampu mengimbangi penurunan bisnis batubara

Berbagai faktor tersebut mendorong Sinarmas Sekuritas untuk mempertahankan

dasi netral saham INDY dengan target harga Rp 1.700. Target harga tersebut mengimplikasikan perkiraan PE tahun 2020

IMA-Daily Update

Previously, Indika pocketed loan facilities

worth US$ 150 million from a number of

foreign and domestic banks. The loan will

be used to buy back part of global bonds

(partial redemption) of US$ 215 million.

Indika Energy Corporate Secretary Adi

Pramono said the company signed a facility

agreement with the company's sub

sidiaries and banks involved on July 17,

2019. The subsidiaries were PT Indika Inti

Corporindo, PT Tripatra Engineers and

Constructors, PT Tripatra Engineering, and

Tripatra Pte Ltd. "Standard Chartered Bank

Ltd, Jakarta branch Citibank, PT Bank

Mandiri Tbk (BMRI) act as arrangers and

as lenders," he explained.♦

Low Exploration Investment Inhibits Gold Mine Giant

Discovery By: Ni Putu Eka Wiratmini

CHAIRMAN of the Indonesian Mining Institute

(IMI) Irwandy Arif assessed that although the price of gold was quite stable, without coupled with exploration investment, it would not affect the prospects of gold mining in Indonesia.

According to him, exploration invewhich is still low becomes a stumbling block in the discovery of large reserves or giant discoveries for mining in Indonesia, including gold commodities. At present the active gold mines are those owned by largecompanies such as Freeport, AmmMerdeka Copper, J Resources, and Indo Muro Kencana.

In fact, when all mining commodity prices declined, only nickel, gold and silver were the exception. In fact, the smallest or fluctuating price of gold has a fairly stable price.

Previously, Indika pocketed loan facilities

worth US$ 150 million from a number of

foreign and domestic banks. The loan will

of global bonds

(partial redemption) of US$ 215 million.

Indika Energy Corporate Secretary Adi

Pramono said the company signed a facility

agreement with the company's sub-

sidiaries and banks involved on July 17,

2019. The subsidiaries were PT Indika Inti

Corporindo, PT Tripatra Engineers and

Constructors, PT Tripatra Engineering, and

Tripatra Pte Ltd. "Standard Chartered Bank

Ltd, Jakarta branch Citibank, PT Bank

Mandiri Tbk (BMRI) act as arrangers and

Sebelumnya, Indika mengantpinjaman senilai US$ 150 juta dari sejumlah bank asing dan domestik. Pinjaman tersebut akan digunakan untuk membeli kembali (buyback) sebagian obligasi global (redemption) sebesar US$ 215 juta.

Sekretaris Perusahaan Indika Energy AdiPramono mengatakan, perseroan menandatangani perjanjian fasilitas bersama anakusaha perseroan dan pihak perbankan yang terlibat pada 17 Juli 2019. Anaktersebut adalah adalah PT Indika Inti Corporindo, PT Tripatra Engineers and Constructors, PT Tripatra Engineering, dan Tripatra Pte Ltd. “Standard Chartered Bank Ltd, Citibank cabang Jakarta, PT Bank Mandiri Tbk (BMRI) bertindak sebagai

sebagai para pemberi pinjaman,” jelasnya.

Low Exploration Investment Inhibits Gold Mine Giant

By: Ni Putu Eka Wiratmini

of the Indonesian Mining Institute

(IMI) Irwandy Arif assessed that although the price of gold was quite stable, without coupled with exploration investment, it would not affect the prospects of gold mining in Indonesia.

According to him, exploration investment which is still low becomes a stumbling block in the discovery of large reserves or giant discoveries for mining in Indonesia, including gold commodities. At present the active gold mines are those owned by large-scale companies such as Freeport, Amman Minerals, Merdeka Copper, J Resources, and Indo Muro

In fact, when all mining commodity prices declined, only nickel, gold and silver were the exception. In fact, the smallest or fluctuating price of gold has a fairly stable price.

Investasi Eksplorasi Rendah Hambat Giant Discovery Tambang

EmasOleh : Ni Putu Eka Wiratmini

KETUA Indonesian Mining Institute (IMI)

Irwandy Arif menilai meskipun harga emas cukup stabil tetapi tanpa dibarengi dengan investasi eksplorasi tidak akan berpengaruh pada prospek pertambangan emas di Indonesia.

Menurutnya, investasi eksplorasi yang masih rendah menjadi batu sandungan dalam penemuan cadangan besar atau giant discovery untuk pertambangan di indonesia termasuk komoditas emas. Saat ini tambang emas yang berjalan aktif adalah yang dimiliki perusahaan skala besar seperti Freeport, Amman Mineral, Merdeka Copper, J Resources, dan Indo Muro Kencana.

Padahal, di saat semua harga komoditas tambang menurun, hanya nikel, emas, dan perak yang menjadi pengecualian. Bahkan, harga emas yang paling kecil fluktuasinya atau terhitung memiliki harga yang cukup sta

Page 12

Sebelumnya, Indika mengantongi fasilitas pinjaman senilai US$ 150 juta dari sejumlah bank asing dan domestik. Pinjaman tersebut akan digunakan untuk membeli kembali

) sebagian obligasi global (partial

) sebesar US$ 215 juta.

Sekretaris Perusahaan Indika Energy Adi Pramono mengatakan, perseroan menanda-tangani perjanjian fasilitas bersama anak-anak usaha perseroan dan pihak perbankan yang terlibat pada 17 Juli 2019. Anak-anak usaha tersebut adalah adalah PT Indika Inti Corporindo, PT Tripatra Engineers and

ors, PT Tripatra Engineering, dan Tripatra Pte Ltd. “Standard Chartered Bank Ltd, Citibank cabang Jakarta, PT Bank Mandiri Tbk (BMRI) bertindak sebagai arrangers dan

sebagai para pemberi pinjaman,” jelasnya.♦

splorasi Rendah Hambat Giant Discovery Tambang

Emas Ni Putu Eka Wiratmini

Indonesian Mining Institute (IMI)

Irwandy Arif menilai meskipun harga emas cukup stabil tetapi tanpa dibarengi dengan investasi eksplorasi tidak akan berpengaruh pada prospek pertambangan emas di Indonesia.

Menurutnya, investasi eksplorasi yang masih dah menjadi batu sandungan dalam

penemuan cadangan besar atau giant discovery untuk pertambangan di indonesia termasuk komoditas emas. Saat ini tambang emas yang berjalan aktif adalah yang dimiliki perusahaan skala besar seperti Freeport, Amman Mineral,

J Resources, dan Indo Muro

Padahal, di saat semua harga komoditas tambang menurun, hanya nikel, emas, dan perak yang menjadi pengecualian. Bahkan, harga emas yang paling kecil fluktuasinya atau terhitung memiliki harga yang cukup stabil.

IMA-Daily Update

Irwandy rate exploration in new areas or green fields for gold mining is still low.

"So the prospect of gold is still promising going forward," he told Bisnis on Tuesday (8/20/2019).

PT Agincourt Resources has budgeted US$ 25 million for exploration activities this year to obtain new reserves that can extend the life of the mine.

Based on the 2018 Agincourt Resources annual report, gold reserves as of 31 December 2018 were 8.1 million ounces and silver reserves were 69 million ounces.

Agincourt Resources Deputy President Director and CEO Tim Duffy said the reserves were expected to be mined for 16 years. However, he continued to explore to extend the life of the mine.

"We can still mine 16 years, but if it can be extended a few more years why not," he said. Editor: Mia Chitra Dinisari

Martabe Encourages Workforce Development and Local

Mohammad Faizal

PT AGINCOURT, manager of the Martabe

gold mine, reiterated the company's commitment to empowering anddeveloping the local workforce. At present, around 75% or around 2,001 of the workers at the gold mine come from communities around the mine.

"From the beginning we did try to involve as many local workers as possible. It takes time, training and patience, but that is indeed our commitment to build the capacity and competence of local workers," said Vice President Director & CEO of...

Irwandy rate exploration in new areas or green fields for gold mining is still low.

"So the prospect of gold is still promising going forward," he told Bisnis on Tuesday

PT Agincourt Resources has budgeted US$ activities this

year to obtain new reserves that can

Based on the 2018 Agincourt Resources annual report, gold reserves as of 31 December 2018 were 8.1 million ounces and silver reserves were 69 million ounces.

ces Deputy President Director and CEO Tim Duffy said the reserves were expected to be mined for 16 years. However, he continued to explore to

"We can still mine 16 years, but if it can be extended a few more years why not," he

Irwandy menilai eksplorasi pada daerah baru atau green field untuk tambang emas masih rendah.

"Jadi prospek emas masih menjanjikan ke depan," katanya kepada Bisnis, Selasa (20/8/2019).

Adapun PT Agincourt Resources mengankan US$25 juta untuk kegiatan eksplorasi pada tahun ini guna mendapatkan cadangan baru yang bisa memperpanjang umur tambang.

Berdasarkan laporan tahunan 2018 Agincourt Resources, cadangan emas hingga 31 Desember 2018 sebanyak 8,1 juta ounces dan cadanperak sebanyak 69 juta ounces.

Wakil Presiden Direktur dan CEO Agincourt Resources Tim Duffy mengatakan cadangan tersebut diperkirakan bisa ditambang selama 16 tahun. Namun, pihaknya terus melakukan eksplorasi untuk memperpanjang umur tambang tersebut.

"Kami masih bisa menambang 16 tahun, tapi kalau bisa diperpanjang beberapa tahun lagi mengapa tidak," katanya. Dinisari

Martabe Encourages Workforce Development and Local Economy

Mohammad Faizal

, manager of the Martabe

reiterated the company's commitment to empowering and developing the local workforce. At present, around 75% or around 2,001 of the workers at the gold mine come from

"From the beginning we did try to involve as many local workers as possible. It takes

, but that is indeed our commitment to build the capacity and competence of local workers," said Vice President Director & CEO of...

Martabe Dorong Pengembangan Tenaga Kerja dan Ekonomi Lokal

Mohammad Faizal

PT AGINCOURT, pengelola tambang emas

Martabe, menegaskan komitmen perusahaan dalam memberdayakan serta mengembangkan tenaga kerja lokal. Saat ini, sekitar 75% atau sekitar 2.001 dari pekerja di tambang emas tersebut berasal dari komunitas di sekitar tambang.

"Sejak awal kami memang berusaha melibatkan sebanyak mungkin pekerja lokal. Memang butuh waktu, pelatihan dan kesabaran, tapi itu memang komitmen kami untuk membangun kapasitas serta kompetensi pekerja lokal," ungkap Vice President Director & CEO...

Page 13

Irwandy menilai eksplorasi pada daerah baru atau green field untuk tambang emas masih

"Jadi prospek emas masih menjanjikan ke depan," katanya kepada Bisnis, Selasa (20/8/

Adapun PT Agincourt Resources menganggar-juta untuk kegiatan eksplorasi pada

tahun ini guna mendapatkan cadangan baru yang bisa memperpanjang umur tambang.

Berdasarkan laporan tahunan 2018 Agincourt Resources, cadangan emas hingga 31 Desember 2018 sebanyak 8,1 juta ounces dan cadangan perak sebanyak 69 juta ounces.

Wakil Presiden Direktur dan CEO Agincourt Resources Tim Duffy mengatakan cadangan tersebut diperkirakan bisa ditambang selama 16 tahun. Namun, pihaknya terus melakukan eksplorasi untuk memperpanjang umur

"Kami masih bisa menambang 16 tahun, tapi kalau bisa diperpanjang beberapa tahun lagi mengapa tidak," katanya. Editor : Mia Chitra

Martabe Dorong Pengembangan Tenaga Kerja dan Ekonomi Lokal

Mohammad Faizal

, pengelola tambang emas

Martabe, menegaskan komitmen perusaha-an dalam memberdayakan serta mengem-bangkan tenaga kerja lokal. Saat ini, sekitar 75% atau sekitar 2.001 dari pekerja di tambang emas tersebut berasal dari

nitas di sekitar tambang.

"Sejak awal kami memang berusaha melibat-kan sebanyak mungkin pekerja lokal. Memang butuh waktu, pelatihan dan kesabaran, tapi itu memang komitmen kami untuk membangun kapasitas serta kompetensi pekerja lokal,"

President Director & CEO...

IMA-Daily Update

said Vice President Director & CEO of PT Agincourt Resources Team Duffy in Batangtoru, Tapanuli Regency South, North Sumatra, Tuesday (8/20/2019).

Not only that, continued Team, thecompany also implemented a gender diversity program by providing broad opportunities for female workers.Throughout 2018, up to 93% of employees have been facilitated with training on gender diversity. At present, 25% of company employees are women. Not only that, 29% of superintendent positions and managers in companies held by women.

"And this is not just to meet the requirements, but these women workers do have a big contribution to thecompany," he said.

The team added, to increase the capacity and quality of human resources (HR), including local workers, Agincourt also implemented the Marsipature program. This program is an effort to improve the specific skills of workers so that they have the opportunity to pursue a higher career path.

Agincourt Senior Community Manager Pramana Triwahjudi added, tprogram, the company not only increased local workers in quantity, but also in quality. "We do not want any assumption that local workers are only limited to operators, but if possible get to the highest level. So the point is we continue to improve quality, competence, capacity building," he said.

Beyond that, he continued, the company also intensively empowered the local economy for the communities around the mine. That way, he said, the community also does not merely focus on expecting or relying on income from mining. "So this is all related," he explained. (fjo)

said Vice President Director & CEO of PT Agincourt Resources Team Duffy in Batangtoru, Tapanuli Regency South, North Sumatra, Tuesday (8/20/2019).

Not only that, continued Team, the company also implemented a gender

ogram by providing broad opportunities for female workers. Throughout 2018, up to 93% of employees have been facilitated with training on gender diversity. At present, 25% of company employees are women. Not only that, 29% of superintendent positions and

anagers in companies held by women.

"And this is not just to meet the requirements, but these women workers do have a big contribution to the

The team added, to increase the capacity and quality of human resources (HR),

orkers, Agincourt also implemented the Marsipature program. This program is an effort to improve the specific skills of workers so that they have the opportunity to pursue a higher career

Agincourt Senior Community Manager Pramana Triwahjudi added, through the program, the company not only increased local workers in quantity, but also in quality. "We do not want any assumption that local workers are only limited to operators, but if possible get to the highest level. So the point is we continue to

rove quality, competence, capacity

Beyond that, he continued, the company also intensively empowered the local economy for the communities around the mine. That way, he said, the community also does not merely focus on expecting or

ing on income from mining. "So this is

ungkap Vice President Director & CEO PT Agincourt Resources Tim Duffy diBatangtoru, Kabupaten Tapanuli Selatan, Sumatera Utara, Selasa (20/8/2019).

Tak hanya itu, lanjut Tim, perusamenerapkan program gender diversity

memberikan kesempatan luas bagi pekerja wanita. Sepanjang 2018, hingga 93% pegawai telah difasilitasi dengan pelatihan mengenai gender diversity. Saat ini, 25% dari pegawai perusahaan adalah wanita. Tak posisi superintendent dan manajer di perusahaan dijabat oleh wanita.

"Dan ini bukan sekadar hanya untuk memenuhi persyaratan, tapi para pekerja wanita tersebut memang memiliki andil besar bagi perusahaan," tandasnya.

Tim menambahkan, untuk kapasitas serta kualitas sumber daya manusia (SDM), termasuk pekerja lokal, Agincourt juga menerapkan program Marsipature. Program ini adalah upaya untuk meningkatkan keterampilan spesifik para pekerja sehingga mereka memiliki peluang untuk menapaki jenjang karir yang lebih tinggi.

Senior Manager Community Agincourt Pramana Triwahjudi menambahkan, melalui program tersebut, perusahaan tak hanya meningkatkan pekerja lokal secarakuantitas, namun juga secara kualitas. "Kita tidak ingin ada anggapapekerja lokal itu hanya sebatas operator, tapi kalau bisa sampai ke tingkat yang paling tinggi. Jadi intinya kita terus lakukan perbaikan kualitas, kompetensi, building," tegasnya.

Di luar itu, sambung dia, perusahaan juga gencar melakukan pemberdayaan ekonomi lokal bagi masyarakat di sekitar tambang. Dengan begitu, kata dia, masyarakat juga tak melulu berfokus untuk mengharapkan atau mengandalkan pendapatan dari tambang. "Jadi ini semua memang berkaitan," jelasnya. (fjo)

Page 14

ungkap Vice President Director & CEO PT Agincourt Resources Tim Duffy di Batangtoru, Kabupaten Tapanuli Selatan, Sumatera Utara, Selasa (20/8/2019).

Tak hanya itu, lanjut Tim, perusahaan juga gender diversity dengan

memberikan kesempatan luas bagi pekerja wanita. Sepanjang 2018, hingga 93% pegawai telah difasilitasi dengan pelatihan mengenai

. Saat ini, 25% dari pegawai perusahaan adalah wanita. Tak hanya itu, 29%

dan manajer di per-usahaan dijabat oleh wanita.

"Dan ini bukan sekadar hanya untuk memenuhi persyaratan, tapi para pekerja wanita tersebut memang memiliki andil besar bagi perusahaan," tandasnya.

Tim menambahkan, untuk meningkatkan kapasitas serta kualitas sumber daya manusia (SDM), termasuk pekerja lokal, Agincourt juga menerapkan program Marsipature. Program ini adalah upaya untuk meningkatkan keterampilan spesifik para pekerja sehingga mereka memiliki

napaki jenjang karir yang

Senior Manager Community Agincourt Pramana Triwahjudi menambahkan, melalui program tersebut, perusahaan tak hanya meningkatkan pekerja lokal secara kuantitas, namun juga secara kualitas. "Kita tidak ingin ada anggapan bahwa para pekerja lokal itu hanya sebatas operator, tapi kalau bisa sampai ke tingkat yang paling tinggi. Jadi intinya kita terus lakukan perbaikan kualitas, kompetensi, capacity

Di luar itu, sambung dia, perusahaan juga melakukan pemberdayaan ekonomi

lokal bagi masyarakat di sekitar tambang. Dengan begitu, kata dia, masyarakat juga tak melulu berfokus untuk mengharapkan atau mengandalkan pendapatan dari tambang. "Jadi ini semua memang berkaitan," jelas-

IMA-Daily Update

Clear! The World Economy Slows, Coal Prices are

Decreasing Taufan Adharsyah, CNBC Indonesia

COAL prices continue to weaken due to the

downward sentiment of the global economic slowdown.

At the close of trading on Tuesday (8/20/2019), the price of Newcastle coal for September delivery fell 0.15% to as low as US$ 65.65/metric ton. This price is also still close to the weakest position in the last 3 years or since August 2016.

The previous day, the same coal price was able to strengthen 0.46%.

The lack of certainty regarding the fate of the trade war in the United States (US) China makes coal prices continue to be depressed.

The two giant economic wars of the world economy which have been going on fothan a year have indeed had a negative impact on the global economy.

No wonder, because the global supply chain that is so complex must be connected to the two countries. As a result, global trade has become sluggish and has put pressure on economic growth in almost all countries.

Investor fears about global economicconditions are increasingly becoming when the yield of US government bonds has a 2tenor higher than the 10-year tenor last week.

These conditions cause the government bond yield curve to inversion. A sign of an economic recession. Recession is a condition where the economy contracted in two consecutive quarters in the same year.

Clear! The World Economy Slows, Coal Prices are

Taufan Adharsyah, CNBC Indonesia

prices continue to weaken due to the

downward sentiment of the global economic

se of trading on Tuesday (8/20/ 2019), the price of Newcastle coal for September delivery fell 0.15% to as low as US$ 65.65/metric ton. This price is also still close to the weakest position in the last 3

ame coal price was

The lack of certainty regarding the fate of the trade war in the United States (US) -China makes coal prices continue to be

The two giant economic wars of the world economy which have been going on for more than a year have indeed had a negative

No wonder, because the global supply chain that is so complex must be connected to the two countries. As a result, global trade has become sluggish and has put pressure on

growth in almost all countries.

Investor fears about global economic conditions are increasingly becoming when the yield of US government bonds has a 2-year

year tenor last week.

These conditions cause the government curve to inversion. A sign of an

economic recession. Recession is a condition where the economy contracted in two consecutive quarters in the same year.

Clear! Ekonomi Dunia Melambat, Harga Batubara

Makin AmblasTaufan Adharsyah, CNBC Indonesia

HARGA batubara masih terus melanjutkan

tren pelemahan akibat tertekan sentimen perlambatan ekonomi global.

Pada penutupan perdagangan Selasa (20/8/2019), harga batubara Newcastle kontrak pengiriman September melemah 0,15% ke level US$ 65,65/metrik ton. Harga ini masih dekat dengan positahun terakhir atau sejak Agustus 2016.

Sehari sebelumnya, harga batubara yang sama mampu menguat 0,46%.

Belum adanya kepastian yang tinggi perihal nasib perang dagang Amerika Serikat (AS)China membuat harga batubara masih terus tertekan.

Perang dagang dua raksasa ekonomi dunia yang kini telah berlangsung lebih dari satu tahun memang telah berdampak buruk pada perekonomian global.

Tak heran, karena rantai pasokan global yang begitu kompleks pasti terhubung denegara tersebut. Akibatnya, perdagangan global kian lesu dan menekan laju pertumbuhan ekonomi di hampir

Ketakutan investor akan kondisi ekonomi global semakin menjadi kala imbal hasil (yield) obligasi pemerintah AS tenor 2 tahun lebih tinggi dari yang bertenor 10 tahun pada pekan lalu.

Kondisi tersebut menyebabkan kurva yield obligasi pemerintah mengalami inversi. Sebuah pertanda datangnya resesi ekonomi. Resesi merupakan kondisi dimana perekonomian terkontraksi dalam dua kuartaldalam tahun yang sama.

Page 15

Clear! Ekonomi Dunia Melambat, Harga Batubara

Makin Amblas Taufan Adharsyah, CNBC Indonesia

ubara masih terus melanjutkan

tren pelemahan akibat tertekan sentimen perlambatan ekonomi global.

Pada penutupan perdagangan Selasa (20/8/ 2019), harga batubara Newcastle kontrak pengiriman September melemah 0,15% ke level US$ 65,65/metrik ton. Harga ini juga masih dekat dengan posisi terlemah dalam 3 tahun terakhir atau sejak Agustus 2016.

Sehari sebelumnya, harga batubara yang sama mampu menguat 0,46%.

Belum adanya kepastian yang tinggi perihal nasib perang dagang Amerika Serikat (AS)-

batubara masih terus

Perang dagang dua raksasa ekonomi dunia yang kini telah berlangsung lebih dari satu tahun memang telah berdampak buruk pada

Tak heran, karena rantai pasokan global yang begitu kompleks pasti terhubung dengan dua negara tersebut. Akibatnya, perdagangan global kian lesu dan menekan laju pertum-buhan ekonomi di hampir seluruh negara.

Ketakutan investor akan kondisi ekonomi global semakin menjadi kala imbal hasil (yield) obligasi pemerintah AS tenor 2 tahun ebih tinggi dari yang bertenor 10 tahun pada

Kondisi tersebut menyebabkan kurva yield obligasi pemerintah mengalami inversi. Sebuah pertanda datangnya resesi ekonomi. Resesi merupakan kondisi dimana perekonomian terkontraksi dalam dua kuartal berturut-turut

IMA-Daily Update

In addition, German economic growth in

the second quarter of 2019 was only 0.4%

YoY. Slowed compared to the previous

quarter which was 0.9% YoY.

For the whole of 2019, the German

government estimates that the economy

will grow 0.5%. Last year, the German

economy grew 1.5%.

Germany is the largest economy in Europe,

the economic slowdown there will affect

one continent. Proven in the second

quarter of 2019 the Eurozone economy

grew 1.1% YoY, slowing down from the

previous quarter which was 1.2% YoY.

Evident evidence of an economic

slowdown is making projections for

growth in energy demand, including coal,

increasingly depressed.

Especially if the trade war is getting hotter,

some analysts expect the world economy

could really fall into recession.

In addition there are also issues of divorce

between the UK and the European Union

(Brexit) which are still unclear. Whereas

on October 31, 2019, the State of Queen

Elizabeth had to leave the largest economic

bloc in the world, with or without

agreement.

Whereas in the second quarter of 2019 the

British economy had contracted by 0.2%

and marked the first contraction since the

end of 2012.

If the Brexit No Deal occurs, the British

economy will shrink even deeper and

influence the global economy. Because the

UK is the fifth largest economy in the

world. CNBC INDONESIA RESEARCH TEAM

(taa/hps)

In addition, German economic growth in

the second quarter of 2019 was only 0.4%

YoY. Slowed compared to the previous

For the whole of 2019, the German

government estimates that the economy

ll grow 0.5%. Last year, the German

Germany is the largest economy in Europe,

the economic slowdown there will affect

one continent. Proven in the second

quarter of 2019 the Eurozone economy

grew 1.1% YoY, slowing down from the

quarter which was 1.2% YoY.

Evident evidence of an economic

slowdown is making projections for

growth in energy demand, including coal,

Especially if the trade war is getting hotter,

some analysts expect the world economy

In addition there are also issues of divorce

between the UK and the European Union

(Brexit) which are still unclear. Whereas

on October 31, 2019, the State of Queen

Elizabeth had to leave the largest economic

or without

Whereas in the second quarter of 2019 the

British economy had contracted by 0.2%

and marked the first contraction since the

If the Brexit No Deal occurs, the British

economy will shrink even deeper and

al economy. Because the

UK is the fifth largest economy in the

CNBC INDONESIA RESEARCH TEAM

Selain itu, pertumbuhan ekonomi Jerman pada kuartal II-2019 hanya sebesar 0,4%

YoY. Melambat dibandingkan kuartal sebelumnya yaitu 0,9% YoY.

Untuk keseluruhan 2019, pemerintah Jerman memperkirakan ekonomi tumbuh

0,5%. Tahun lalu, ekonomi Jerman tumbuh

1,5%.

Jerman adalah perekonomian terbesar di Eropa, perlambatan ekonomi di sana akan

mempengaruhi satu benua. Terbukti pada

kuartal II-2019 ekon

tumbuh 1,1% YoY, melambat dibandingkan kuartal sebelumnya yaitu 1,2% YoY.

Bukti-bukti perlambatan ekonomi yang semakin nyata membuat proyeksi pertum

buhan permintaan energi, termasuk batu

bara, kian tertekan.

Terlebih jika perang dagang semapanas, beberapa analis memperkirakan

perekonomian dunia bisa benar

jatuh kepada resesi.

Selain itu masih ada pula isu perceraian Inggris dengan Uni Eropa (

masih belum jelas. Padahal pada 31 Oktober 2019, Negeri Ratu Elizabeth sudah

harus angkat kaki dari blok ekonomi

terbesar di dunia, dengan atau tanpa

kesepakatan.

Padahal di kuartal II-2019 ekonomi Inggris sudah mengalami kontraksi sebesar 0,2%

dan menandakan kontraksi pertama sejak

akhir 2012.

Bila sampai No Deal Brexit

ekonomi Inggris akan menyusut lebih dalam lagi dan ikut mempengaruhi

perekonomian global. Pasalnya Inggris

merupakan negara dengan perekonomian

terbesar kelima di dunia.

CNBC INDONESIA (taa/hps)

Page 16

Selain itu, pertumbuhan ekonomi Jerman 2019 hanya sebesar 0,4%

YoY. Melambat dibandingkan kuartal sebelumnya yaitu 0,9% YoY.

Untuk keseluruhan 2019, pemerintah Jerman memperkirakan ekonomi tumbuh

0,5%. Tahun lalu, ekonomi Jerman tumbuh

Jerman adalah perekonomian terbesar di Eropa, perlambatan ekonomi di sana akan

mempengaruhi satu benua. Terbukti pada

2019 ekonomi Zona Euro

tumbuh 1,1% YoY, melambat dibandingkan kuartal sebelumnya yaitu 1,2% YoY.

bukti perlambatan ekonomi yang semakin nyata membuat proyeksi pertum-

buhan permintaan energi, termasuk batu-

Terlebih jika perang dagang semakin panas, beberapa analis memperkirakan

perekonomian dunia bisa benar-benar

Selain itu masih ada pula isu perceraian Inggris dengan Uni Eropa (Brexit) yang

masih belum jelas. Padahal pada 31 Oktober 2019, Negeri Ratu Elizabeth sudah

arus angkat kaki dari blok ekonomi

terbesar di dunia, dengan atau tanpa

2019 ekonomi Inggris sudah mengalami kontraksi sebesar 0,2%

dan menandakan kontraksi pertama sejak

No Deal Brexit terjadi, maka

ekonomi Inggris akan menyusut lebih dalam lagi dan ikut mempengaruhi

perekonomian global. Pasalnya Inggris

merupakan negara dengan perekonomian

terbesar kelima di dunia. TIM RISET

(taa/hps)

IMA-Daily Update

Sluggish demand due to the trade war, tin prices are still in

a correction phase

GLOBAL tin prices have remained sluggish

in recent times. The fundamentals of these industrial metal commodities havedeteriorated due to the pressure of a trade war that has led to a slowing global economy.

Monday (8/19), the price of threecontract tin on the London Metal Exchange (LME) fell 0.60% to as low as US$ 16,475 per metric ton. In the past week, tin prichave corrected 2.51%.

Not only that, since August 2 the price of tin has rolled below the level of US$ 17,000 per metric ton. The last time thisphenomenon appeared was in June 2016 ago.

Garuda Futures Director Ibrahim said the recent decline in tin prices was an accumulation of the negative impact of the threat of a global economic slowdown due to a trade war.

As is known, until now the trade war between the US and China has never met a definite settlement point. US President Donald Trump actually has just delayed the increase in import tariffs on products from China until December 15. However, the same figure claimed not to be ready to renegotiate with China.

The trade war certainly hit the economies of the two countries. More specifically for China, the demand for tin from this country has dropped dramatically since the war on trade. "Though China is the largest consumer and importer of tin," Ibrahim said, Tuesday (8/20).

Sluggish demand due to the trade war, tin prices are still in

a correction phase

tin prices have remained sluggish

in recent times. The fundamentals of these industrial metal commodities have deteriorated due to the pressure of a trade war that has led to a slowing global

Monday (8/19), the price of three-month contract tin on the London Metal Exchange (LME) fell 0.60% to as low as US$ 16,475 per metric ton. In the past week, tin prices

Not only that, since August 2 the price of tin has rolled below the level of US$ 17,000 per metric ton. The last time this phenomenon appeared was in June 2016

Garuda Futures Director Ibrahim said the ces was an

accumulation of the negative impact of the threat of a global economic slowdown due

As is known, until now the trade war between the US and China has never met a definite settlement point. US President

ust delayed the increase in import tariffs on products from China until December 15. However, the same figure claimed not to be ready to

The trade war certainly hit the economies of the two countries. More specifically for

e demand for tin from this country has dropped dramatically since the war on trade. "Though China is the largest consumer and importer of tin," Ibrahim

Permintaan lesu akibat perang dagang, harga timah masih berada dalam fase koreksi

HARGA timah global masih cenderung lesu

dalam beberapa waktu terakhir. Fundamental komoditas logam industri ini memburuk akibat tekanan perang dagang yang berujung pada perlambatan ekonomi global.

Senin (19/8), harga timah kontrak tiga bulanan di London Metal Exchange

turun 0,60% ke level US$ 16.475 per metrik ton. Dalam sepekan terakhir, harga timah telah terkoreksi 2,51%.

Tak hanya itu, sejak 2 Agustus lalu harga timah telah bergulir di bawah level US$ 17.000 per metrik ton. Terakhir kali fenomena ini muncul adalah di bulan Juni 2016 silam.

Direktur Garuda Berjangka Ibrahim mengatakan, penurunan harga timah akhirini merupakan akumulasi dari dampak negatif ancaman perlambatan ekonomi global akibat perang dagang.

Seperti yang diketahui, hindagang antara AS dan China tak kunjung menemui titik penyelesaian secara pasti. Presiden AS Donald Trump sebenarnya baru saja menunda kenaikan tarif impor produk asal China hingga 15 Desember mendatang. Namun, sosok yang sama mengaku belum siap melakukan negosiasi dagang ulang dengan China.

Perang dagang tentu memukul perekonomian kedua negara tersebut. Lebih khusus untuk China, permintaan timah dari negara ini berkurang drastis semenjak perang dagang berkecamuk. “Padahal China merupakan konsumen dan pengimpor timah terbesar,” ujar Ibrahim, Selasa (20/8).

Page 17

Permintaan lesu akibat perang dagang, harga timah masih berada dalam fase koreksi

timah global masih cenderung lesu

dalam beberapa waktu terakhir. Funda-mental komoditas logam industri ini mem-buruk akibat tekanan perang dagang yang berujung pada perlambatan ekonomi global.

Senin (19/8), harga timah kontrak tiga n Metal Exchange (LME)

turun 0,60% ke level US$ 16.475 per metrik ton. Dalam sepekan terakhir, harga timah telah terkoreksi 2,51%.

Tak hanya itu, sejak 2 Agustus lalu harga timah telah bergulir di bawah level US$ 17.000 per metrik ton. Terakhir kali

na ini muncul adalah di bulan Juni

Direktur Garuda Berjangka Ibrahim menga-takan, penurunan harga timah akhir-akhir ini merupakan akumulasi dari dampak negatif ancaman perlambatan ekonomi global akibat perang dagang.

Seperti yang diketahui, hingga kini perang dagang antara AS dan China tak kunjung menemui titik penyelesaian secara pasti. Presiden AS Donald Trump sebenarnya baru saja menunda kenaikan tarif impor produk asal China hingga 15 Desember mendatang. Namun, sosok yang sama mengaku belum siap melakukan negosiasi dagang ulang

Perang dagang tentu memukul pereko-nomian kedua negara tersebut. Lebih khusus untuk China, permintaan timah dari negara ini berkurang drastis semenjak perang dagang berkecamuk. “Padahal China

nsumen dan pengimpor timah terbesar,” ujar Ibrahim, Selasa (20/8).

IMA-Daily Update

The demand for tin from the European region is also reduced. Because the threat of economic slowdown began to spread to the blue continent.

England for example. Although last week's UK retail sales data in July grew 0.2%, these results have not been able to prove that the country is safe from the threat of an economic slowdown. What's more, Britain is still dealing with the Brexit problem.

"If the British economy has a problem, tin prices will also be affected. Because, the global tin reference market is in the UK," he said.

From within the country, the Jakarta Futures Exchange (BBJ) effort in releasing tin contract trade does not necessarily have a positive impact on commodity price movements.

Indeed, thanks to the BBJ plus the Indonesia Commodity & DerivativesExchange (ICDX) as the organizer of the tin trade will facilitate exports from within the country. However, this could be bland because global tin demand is declining. This condition can actually make the price of tin go down again.

"In the first quarter the price of tin could be above US $ 20,000 per metric ton because Indonesian exports had been put on hold. Now when exports are smoother, demand is reduced," Ibrahim said.

According to him, in the near future the price of tin still has the potential to godown. This is also supported by the movement of the US dollar index which is still showing strength.

Technically, the Bollinger moving average is 20% above the lower Bollinger, thus giving a signal that tin prices may still fall. Stochastic and MACD indicators are 60% negative. Whereas RSI wait and see.

The demand for tin from the European region is also reduced. Because the threat of economic slowdown began to spread to

England for example. Although last week's ail sales data in July grew 0.2%,

these results have not been able to prove that the country is safe from the threat of an economic slowdown. What's more, Britain is still dealing with the Brexit

"If the British economy has a problem, tin will also be affected. Because, the

global tin reference market is in the UK,"

From within the country, the Jakarta Futures Exchange (BBJ) effort in releasing tin contract trade does not necessarily have a positive impact on commodity price

Indeed, thanks to the BBJ plus the Indonesia Commodity & Derivatives Exchange (ICDX) as the organizer of the tin trade will facilitate exports from within the country. However, this could be bland because global tin demand is declining. This condition can actually make the price

the price of tin could be above US $ 20,000 per metric ton because Indonesian exports had been put on hold. Now when exports are smoother, demand is reduced," Ibrahim said.

According to him, in the near future the price of tin still has the potential to go down. This is also supported by the movement of the US dollar index which is

Technically, the Bollinger moving average is 20% above the lower Bollinger, thus giving a signal that tin prices may still fall.

ators are 60% negative. Whereas RSI wait and see.

Permintaan timah dari kawasan Eropa juga berkurang. Pasalnya, ancaman perlambatan ekonomi mulai merambat ke benua biru.

Inggris misalnya. Kendati pekan lalu data penjualan ritel Inggris di bulan Juli tumbu0,2%, hasil ini belum bisa membuktikan bahwa negara tersebut aman dari ancaman perlambatan ekonomi. Terlebih lagi, Inggris masih berurusan dengan masalah Brexit.

“Kalau ekonomi Inggris bermasalah, harga timah juga kena dampaknya. Sebab, pasar acuan timah global ada di Inggris,” ungkap dia.

Dari dalam negeri, upaya Bursa Berjangka Jakarta (BBJ) dalam merilis perdagangan kontrak timah belum tentu berdampak positif bagi pergerakan harga komoditas tersebut.

Memang, berkat adanya BBJ ditambah Indonesia Commodi

Exchange (ICDX) sebagai penyelenggara perdagangan timah akan mempermudah ekspor dari dalam negeri. Akan tetapi, hal ini bisa saja hambar karena permintaan timah global sedang menurun. Kondisi ini justru bisa membuat harga timah kembali turun.

“Kuartal satu lalu harga timah bisa di atas US$ 20.000 per metrik ton karena ekspor Indonesia sempat tertahan. Sekarang ketika ekspor lebih mulus, permintaannya berkurang,” ungkap Ibrahim.

Menurutnya, dalam waktu dekat harga timah masih berpotensi turudukung pula oleh pergerakan indeks dollar AS yang masih menunjukkan penguatan.

Secara teknikal, bollinger moving average

20% di atas bollinger

memberi sinyal harga timah masih bisa jatuh. Indikator stochastic

negatif. Sedangkan RSI

Page 18

Permintaan timah dari kawasan Eropa juga berkurang. Pasalnya, ancaman perlam-batan ekonomi mulai merambat ke benua

Inggris misalnya. Kendati pekan lalu data penjualan ritel Inggris di bulan Juli tumbuh 0,2%, hasil ini belum bisa membuktikan bahwa negara tersebut aman dari ancaman perlambatan ekonomi. Terlebih lagi, Inggris masih berurusan dengan masalah

“Kalau ekonomi Inggris bermasalah, harga timah juga kena dampaknya. Sebab, pasar

global ada di Inggris,” ungkap

Dari dalam negeri, upaya Bursa Berjangka Jakarta (BBJ) dalam merilis perdagangan kontrak timah belum tentu berdampak positif bagi pergerakan harga komoditas

Memang, berkat adanya BBJ ditambah Indonesia Commodity & Derivatives

(ICDX) sebagai penyelenggara perdagangan timah akan mempermudah ekspor dari dalam negeri. Akan tetapi, hal ini bisa saja hambar karena permintaan timah global sedang menurun. Kondisi ini justru bisa membuat harga timah kembali

“Kuartal satu lalu harga timah bisa di atas US$ 20.000 per metrik ton karena ekspor Indonesia sempat tertahan. Sekarang ketika ekspor lebih mulus, permintaannya berkurang,” ungkap Ibrahim.

Menurutnya, dalam waktu dekat harga timah masih berpotensi turun. Ini di-dukung pula oleh pergerakan indeks dollar AS yang masih menunjukkan penguatan.

bollinger moving average

bollinger bawah sehingga memberi sinyal harga timah masih bisa

stochastic dan MACD 60% Sedangkan RSI wait and see.

IMA-Daily Update

With these conditions, Ibrahimrecommends sell for tin. The price of tin itself is estimated to move in the range of US$ 16,280-US$ 16,500 per metric ton tomorrow. Meanwhile for the next week, tin prices will roll in the area o16,000-US$ 16,575 per metric ton.Reporter: Dimas Andi, Editor: Yoyok

Chinese Economy Given Monetary Stimulus, Aluminum

Prices Raised By: Finna U. Ulfah

ALUMINUM touched its highest level in

the past 2 weeks as the market reacted to the Chinese Central Bank which launched interest rate reforms to boost the economy of China, the world's largest metalconsumer.

Based on Bloomberg data, at the close of trading on Monday (8/19/2019) the price of aluminum on the London stock exchange rose 0.11% to US$ 1,794 per ton, after in mid-trade it touched US$ 1,807.50 per ton, the highest since July 31.

Meanwhile, aluminum prices on theShanghai stock exchange also reached their highest level in 9 months in trading Tuesday (8/20/2019), up 0.7% at 14,380 yuan per ton, following an increase in London.

Copenhagen Bank Saxo CommodityStrategy Head Ole Hansen said that China's interest rate reform designed to drive lower borrowing costs for businesses and is expected to support a slowing economy has become a positive catalyst for base metals.

With these conditions, Ibrahim recommends sell for tin. The price of tin itself is estimated to move in the range of

US$ 16,500 per metric ton tomorrow. Meanwhile for the next week, tin prices will roll in the area of US$

US$ 16,575 per metric ton. Reporter: Dimas Andi, Editor: Yoyok

Dengan kondisi demikian, Ibrahim merekomendasikan sell untuk timah. Harga timah sendiri ditaksir akan bergerak di kisaran US$ 16.280-US$ 16.500 per metrik ton pada esok hari. Sesepekan ke depan, harga timah akan bergulir di area US$ 16.000metrik ton. Reporter: Dimas Andi, Editor: Yoyok

Chinese Economy Given Monetary Stimulus, Aluminum

touched its highest level in

the past 2 weeks as the market reacted to the Chinese Central Bank which launched interest rate reforms to boost the economy of China, the world's largest metal

data, at the close of trading on Monday (8/19/2019) the price of aluminum on the London stock exchange rose 0.11% to US$ 1,794 per ton,

trade it touched US$ 1,807.50 per ton, the highest since July 31.

Meanwhile, aluminum prices on the i stock exchange also reached their

highest level in 9 months in trading Tuesday (8/20/2019), up 0.7% at 14,380 yuan per ton, following an increase in

Copenhagen Bank Saxo Commodity Strategy Head Ole Hansen said that China's

signed to drive lower borrowing costs for businesses and is expected to support a slowing economy has become a positive catalyst for base

Ekonomi China Diberi Stimulus Moneter, Harga Aluminium

TerangkatOleh : Finna U. Ulfah

ALUMINIUM menyentuh level tertingginya

dalam 2 pekan terakhir seiring dengan reaksi pasar terhadap Bank Sentral China yang meluncurkan reformasi suku bunga untuk mendorong ekonomi konsumen logam terbesar di dunia.

Berdasarkan data penutupan perdagangan Senin (19/8/2019) harga aluminium di bursa London menguat 0,11% menjadi US$1.794 per ton, setelah pada pertengahan perdagangan menyentuh US$1.807,50 per ton, te

Sementara itu, harga aluminium di bursa Shanghai juga mencapai level tertinggi dalam 9 bulan pada perdagangan Selasa (20/8/2019) menguat 0,7% di level 14.380 yuan per ton, mengikuti kenaikan di London.

Kepala Strategi Komoditas Saxo Kopenhagen Ole Hansen mengatakan bahwa reformasi suku bunga China yang dirancang untuk mengarahkan biaya pinjaman yang lebih rendah bagi pelaku usaha dan diharapkan dapat mendukung ekonomi yang melambat telah menjadi katalis positif bagi logam dasar.

Page 19

Dengan kondisi demikian, Ibrahim me-untuk timah. Harga

timah sendiri ditaksir akan bergerak di US$ 16.500 per metrik

ton pada esok hari. Sementara untuk sepekan ke depan, harga timah akan bergulir di area US$ 16.000-US$ 16.575 per

Reporter: Dimas Andi, Editor: Yoyok

Ekonomi China Diberi Stimulus Moneter, Harga Aluminium

Terangkat Finna U. Ulfah

menyentuh level tertingginya

dalam 2 pekan terakhir seiring dengan reaksi pasar terhadap Bank Sentral China yang meluncurkan reformasi suku bunga untuk mendorong ekonomi China, konsumen logam terbesar di dunia.

Berdasarkan data Bloomberg , pada penutupan perdagangan Senin (19/8/2019) harga aluminium di bursa London menguat 0,11% menjadi US$1.794 per ton, setelah pada pertengahan perdagangan menyentuh US$1.807,50 per ton, tertinggi sejak 31 Juli.

Sementara itu, harga aluminium di bursa Shanghai juga mencapai level tertinggi dalam 9 bulan pada perdagangan Selasa (20/8/2019) menguat 0,7% di level 14.380 yuan per ton, mengikuti kenaikan di London.

Kepala Strategi Komoditas Saxo Bank Kopenhagen Ole Hansen mengatakan bahwa reformasi suku bunga China yang dirancang untuk mengarahkan biaya pinjaman yang lebih rendah bagi pelaku usaha dan diharapkan dapat mendukung ekonomi yang melambat telah menjadi katalis positif

IMA-Daily Update

"We can see the market responding to China's move and make bond yields trade slightly higher, stocks higher, and that also makes short-covering in base metals," Ole said as quoted by Reuters on Tuesday (8/20/2019).

China's interest rate reform also sparkehopes the Chinese Central Bank could reduce its benchmark interest rate so that it could encourage a brief recovery in base metals amid market concerns over aluminum supplies due to flooding in China's Shandong province, a major metal producer.

Nevertheless, Marex Spectron in his research said that investors still showed concern over the potential disruption from flooding. Meanwhile, the flood followed typhoon Lekima, which struck last week, causing China's economic losses of billions of dollars.

China Hongqiao Group, the world's largest aluminum producer, said that its mines continued to operate as usual after the typhoon struck its home province and ensured that there was no reduction in aluminum supply due to the natural disaster.

For information, aluminum inventories in warehouses tracked by the Shanghai Futures Exchange fell to the lowest level since April 2017 at 387,663 tons, while LME inventories dropped to the lowest level since July 23.

On the other hand, US Commerce Secretary Wilbur Ross said that the US government would extend the reprieve given to Huawei Technologies that allowed Chinese companies to buy supplies frombusinesses, even though the Chinese technology company had been blacklisted by the US. Editor: Ana Noviani

"We can see the market responding to China's move and make bond yields trade slightly higher, stocks higher, and that also

covering in base metals," Ole said as quoted by Reuters on Tuesday

China's interest rate reform also sparked hopes the Chinese Central Bank could reduce its benchmark interest rate so that it could encourage a brief recovery in base metals amid market concerns over aluminum supplies due to flooding in China's Shandong province, a major metal

ess, Marex Spectron in his research said that investors still showed concern over the potential disruption from flooding. Meanwhile, the flood followed typhoon Lekima, which struck last week, causing China's economic losses of billions

ngqiao Group, the world's largest aluminum producer, said that its mines continued to operate as usual after the typhoon struck its home province and ensured that there was no reduction in aluminum supply due to the natural

num inventories in warehouses tracked by the Shanghai Futures Exchange fell to the lowest level since April 2017 at 387,663 tons, while LME inventories dropped to the lowest

On the other hand, US Commerce Secretary t the US government

would extend the reprieve given to Huawei Technologies that allowed Chinese companies to buy supplies from US businesses, even though the Chinese technology company had been blacklisted

“Kita bisa melihat pasar merespons langkah China tersebut dan membuat imbal hasil obligasi diperdagangkan sedikit lebih tinggi, saham lebih tinggi, dan hal itu juga membuat short-covering

dasar,” ujar Ole seperti dikutip dari Reuters, Selasa (20/8/2019).

Reformasi suku bunga China juga memicu harapan Bank Sentral China dapat menurunkan suku bunga acuannya sehingga dapat mendorong pemulihan harga singkat pada logam dasar di tengah kekhawatiran pasar terhadap pasokan aluminium akibat banjir di provinsi Shandong di China, produsen besar logam.

Kendati demikian, Marex Spectron dalam risetnya mengatakan bahwa investor tetap menunjukkan kekhawatirannya terhadap potensi gangguan dari banjir. Adapun, banjir itu menyusul topan Lekima, yang melanda pekan lalu, menyebabkan kerugian ekonomi China hingga miliaran dolar.

China Hongqiao Group, produsenaluminium terbesar di dunia, mengatakan bahwa pertambangannya tetap beroperasi seperti biasa setelah topan menghantam provinsi asalnya dan memastikan tidak terdapat pengurangan pasokan aluminium akibat bencana alam tersebut.

Sebagai informasi, persediaan aluminium di gudang yang dilacak oleh Shanghai Futures Exchange turun ke level terendah sejak April 2017 di 387.663 ton, sedangkan persediaan LME turun ke levesejak 23 Juli.

Di sisi lain, Menteri Perdagangan AS Wilbur Ross mengatakan bahwa pemerintah AS akan memperpanjang penangguhanhukuman yang diberikan kepada Huawei Technologies yang memungkinkan perusahaan China untuk membeli pasokan dari bisnis AS, meskipun perusahaan teknologi China tersebut sempat masuk ke dalam daftar hitam AS. Editor : Ana Noviani

Page 20

“Kita bisa melihat pasar merespons langkah China tersebut dan membuat imbal hasil obligasi diperdagangkan sedikit lebih tinggi, saham lebih tinggi, dan hal itu

covering pada logam dasar,” ujar Ole seperti dikutip dari

(20/8/2019).

Reformasi suku bunga China juga memicu harapan Bank Sentral China dapat me-nurunkan suku bunga acuannya sehingga dapat mendorong pemulihan harga singkat pada logam dasar di tengah kekhawatiran pasar terhadap pasokan aluminium akibat

provinsi Shandong di China, produsen besar logam.

Kendati demikian, Marex Spectron dalam risetnya mengatakan bahwa investor tetap menunjukkan kekhawatirannya terhadap potensi gangguan dari banjir. Adapun, banjir itu menyusul topan Lekima, yang

n lalu, menyebabkan kerugi-an ekonomi China hingga miliaran dolar.

China Hongqiao Group, produsen aluminium terbesar di dunia, mengatakan bahwa pertambangannya tetap beroperasi seperti biasa setelah topan menghantam provinsi asalnya dan memastikan tidak

rdapat pengurangan pasokan aluminium akibat bencana alam tersebut.

Sebagai informasi, persediaan aluminium di gudang yang dilacak oleh Shanghai Futures Exchange turun ke level terendah sejak April 2017 di 387.663 ton, sedangkan persediaan LME turun ke level terendah

Di sisi lain, Menteri Perdagangan AS Wilbur Ross mengatakan bahwa pemerintah AS akan memperpanjang penangguhan hukuman yang diberikan kepada Huawei Technologies yang memungkinkan per-usahaan China untuk membeli pasokan dari

AS, meskipun perusahaan teknologi China tersebut sempat masuk ke dalam

Editor : Ana Noviani

IMA-Daily Update

Indonesia's May thermal coal exports rises 6% on month; exports to China highest since Jan 2014

Author:

INDONESIA exported 30.6 million mt of thermal coal in May, up 6% on the month and up

20% on the year, according to latest customs data.

Sub-bituminous coal accounted for 86% of overall coal exports, or 26.4 million mt, with

bituminous representing the rest.

India was the largest destination, taking 10.3 million mt, down 8 % on the month, but up 3%

on the year. High Indian domestic stockpiles and seasonal monsoon had dampened some

seaborne buying interest in May.

Exports to China were 7.2 million mt in May, the highe

figure was up 57% from April and increased more than one fold compared with a year ago.

An earlier than usual summer restocking and active Chinese tenders for Indonesian low

calorific value thermal coal cargoes offered

with the reduction in the value added tax to 13% from 16%, exports to China were seen at a

five-year high.

Outside these main markets, exports to other destinations stood 8.5 million mt. The majority

of these volumes were to Southeast Asian countries, notably Thailand, Philippines, Vietnam,

and Malaysia.♦

RMG Copper working with Outotec sees benefits of mineralogy

JSC RMG Copper (RMG) produces copper

Madneuli and Sakdrisi, both located in the Bolnisi mining district in southern Georgia. RMG

and Outotec commenced co-operation with a target to improve the recoveries and metal

grades in concentrate by improving the understanding of the ore variability and developing

more efficient procedures for ore blending and minerals processing (eg the flotation process).

This type of mineralogy-led approach has already been used for other comp

for iron oxide-copper-gold ores and for Kupferschiefer ore deposits.

Indonesia's May thermal coal exports rises 6% on month; exports to China highest since Jan 2014

Author: Fred Wang, Editor: Norazlina Jumaat

exported 30.6 million mt of thermal coal in May, up 6% on the month and up

20% on the year, according to latest customs data.

bituminous coal accounted for 86% of overall coal exports, or 26.4 million mt, with

bituminous representing the rest.

as the largest destination, taking 10.3 million mt, down 8 % on the month, but up 3%

on the year. High Indian domestic stockpiles and seasonal monsoon had dampened some

seaborne buying interest in May.

Exports to China were 7.2 million mt in May, the highest since January 2014. The export

figure was up 57% from April and increased more than one fold compared with a year ago.

An earlier than usual summer restocking and active Chinese tenders for Indonesian low

calorific value thermal coal cargoes offered support for seaborne demand and prices. Coupled

with the reduction in the value added tax to 13% from 16%, exports to China were seen at a

Outside these main markets, exports to other destinations stood 8.5 million mt. The majority

e volumes were to Southeast Asian countries, notably Thailand, Philippines, Vietnam,

RMG Copper working with Outotec sees benefits of mineralogyadvanced simulation

Posted by Paul Moore

RMG Copper (RMG) produces copper-gold concentrate from two open pit mines,

Madneuli and Sakdrisi, both located in the Bolnisi mining district in southern Georgia. RMG

operation with a target to improve the recoveries and metal

des in concentrate by improving the understanding of the ore variability and developing

more efficient procedures for ore blending and minerals processing (eg the flotation process).

led approach has already been used for other comp

gold ores and for Kupferschiefer ore deposits.

Page 21

Indonesia's May thermal coal exports rises 6% on month; exports to

exported 30.6 million mt of thermal coal in May, up 6% on the month and up

bituminous coal accounted for 86% of overall coal exports, or 26.4 million mt, with

as the largest destination, taking 10.3 million mt, down 8 % on the month, but up 3%

on the year. High Indian domestic stockpiles and seasonal monsoon had dampened some

st since January 2014. The export

figure was up 57% from April and increased more than one fold compared with a year ago.

An earlier than usual summer restocking and active Chinese tenders for Indonesian low-mid

support for seaborne demand and prices. Coupled

with the reduction in the value added tax to 13% from 16%, exports to China were seen at a

Outside these main markets, exports to other destinations stood 8.5 million mt. The majority

e volumes were to Southeast Asian countries, notably Thailand, Philippines, Vietnam,

RMG Copper working with Outotec sees benefits of mineralogy-led

gold concentrate from two open pit mines,

Madneuli and Sakdrisi, both located in the Bolnisi mining district in southern Georgia. RMG

operation with a target to improve the recoveries and metal

des in concentrate by improving the understanding of the ore variability and developing

more efficient procedures for ore blending and minerals processing (eg the flotation process).

led approach has already been used for other complex ores such as

IMA-Daily Update

The co-operation with RMG started with process audits and mineralogical and chemical

characterisation of process samples. This was followed by detailed chemical and

mineralogical characterisation of six different ore types with simultaneous flotation test work. Based on the results, a preliminary geometallurgical classification of ore types was

developed. The whole value chain was then modelled in Outotec HSC Chemistry 9 s

optimise the process design and improve the efficiency and value of production.

According to a technical report by RMG (2016), the copper

Madneuli and Sakdrisi are hosted by an upper Cretaceous sequence of volcano

rocks. The Madneuli deposit is characterised by a northeast trending dome, with the limbs of the dome dipping at between 10 to 40°. Several steeply dipping faults occur throughout the

deposit. The layers of rock are mainly composed of rhyodacitic

core of the dome comprising coarse

overlain by a package of alternating tuffs and tuffaceous sandstones. Hydrothermal alteration

of the pyroclastic host rocks of the Madneuli dep

sericitisation and sulphidisation. The altered zones are typically irregularly shaped, and the degree of alteration is strongest in the core of the dome, decreasing towards the marginal

zones. The Madneuli deposit displays three mineralisation styles: vein

and massive stockwork mineralisation. Most of the copper

areas of silica-rich alteration.

Mineralisation within the Sakdrisi deposit is controlled by st

predominantly pod-like bodies, sheeted veinmineralisation has been overprinted by surface weathering processes, resulting in zones of

sporadic supergene enrichment. Gold generally

and with silica grains to a minor degree. The mineralisation style is considered to represent a

transitional type between VMS and epithermal gold type.

The ore samples from Madneuli and Sakdrisi were divided in

was used in chemical analysis and mineralogical studies, and one subsample was used for flotation test work. The chemical and mineralogical characterisation tests were carried out at

the laboratories of Outotec Research Centre

were performed at RMG’s Madneuli laboratory in Georgia.

The detailed chemical assays include complete assays after total dissolution by inductively

coupled plasma-optical emission spectrometry (ICP

and sulphur and carbon contents were analyzed by combustion. In addition, the copper content was analysed after a four

by Young and further developed by Outotec. Thi

quantification of different copper sulphates, oxides, secondary copper sulphides and primary

copper sulfides by using the element to mineral conversion (EMC) method available in the

HSC Chemistry 9 Geo module. The main mine

studied by optical microscopy and Xliberation measurements were performed using a field

microscope equipped with an energy

Mineral liberation measurement software. The hardness of each ore type was determined

according to the standard Bond grindability test.

operation with RMG started with process audits and mineralogical and chemical

characterisation of process samples. This was followed by detailed chemical and

alogical characterisation of six different ore types with simultaneous flotation test work. Based on the results, a preliminary geometallurgical classification of ore types was

developed. The whole value chain was then modelled in Outotec HSC Chemistry 9 s

optimise the process design and improve the efficiency and value of production.

According to a technical report by RMG (2016), the copper–gold mineralised domains at

Madneuli and Sakdrisi are hosted by an upper Cretaceous sequence of volcano

rocks. The Madneuli deposit is characterised by a northeast trending dome, with the limbs of the dome dipping at between 10 to 40°. Several steeply dipping faults occur throughout the

deposit. The layers of rock are mainly composed of rhyodacitic pyroclastic rocks, with the

core of the dome comprising coarse-grained and medium-grained tuffs. These rocks are

overlain by a package of alternating tuffs and tuffaceous sandstones. Hydrothermal alteration

of the pyroclastic host rocks of the Madneuli deposit includes silicification, chloritisation,

sericitisation and sulphidisation. The altered zones are typically irregularly shaped, and the degree of alteration is strongest in the core of the dome, decreasing towards the marginal

sit displays three mineralisation styles: vein-disseminated, breccia

and massive stockwork mineralisation. Most of the copper-gold mineralisation is confined to

Mineralisation within the Sakdrisi deposit is controlled by structure and lithology comprising

like bodies, sheeted vein-sets and low-grade stockwork. The primary mineralisation has been overprinted by surface weathering processes, resulting in zones of

sporadic supergene enrichment. Gold generally occurs as free grains, on sulphide boundaries

and with silica grains to a minor degree. The mineralisation style is considered to represent a

transitional type between VMS and epithermal gold type.

The ore samples from Madneuli and Sakdrisi were divided into subsamples: one subsample

was used in chemical analysis and mineralogical studies, and one subsample was used for flotation test work. The chemical and mineralogical characterisation tests were carried out at

the laboratories of Outotec Research Centre in Finland and the locked cycle flotation tests

were performed at RMG’s Madneuli laboratory in Georgia.

The detailed chemical assays include complete assays after total dissolution by inductively

optical emission spectrometry (ICP-OES), gold and silver assays by fire assay

and sulphur and carbon contents were analyzed by combustion. In addition, the copper content was analysed after a four-stage sequential copper phase assays procedure, described

by Young and further developed by Outotec. This procedure enables the chemical

quantification of different copper sulphates, oxides, secondary copper sulphides and primary

copper sulfides by using the element to mineral conversion (EMC) method available in the

HSC Chemistry 9 Geo module. The main minerals and their mode of occurrence were first

studied by optical microscopy and X-ray diffraction. Scanning electron microscopy and liberation measurements were performed using a field-emission scanning electron

microscope equipped with an energy-dispersive spectrometer (EDS) coupled with INCA

Mineral liberation measurement software. The hardness of each ore type was determined

according to the standard Bond grindability test.

Page 22

operation with RMG started with process audits and mineralogical and chemical

characterisation of process samples. This was followed by detailed chemical and

alogical characterisation of six different ore types with simultaneous flotation test work. Based on the results, a preliminary geometallurgical classification of ore types was

developed. The whole value chain was then modelled in Outotec HSC Chemistry 9 software to

optimise the process design and improve the efficiency and value of production.

gold mineralised domains at

Madneuli and Sakdrisi are hosted by an upper Cretaceous sequence of volcano-sedimentary

rocks. The Madneuli deposit is characterised by a northeast trending dome, with the limbs of the dome dipping at between 10 to 40°. Several steeply dipping faults occur throughout the

pyroclastic rocks, with the

grained tuffs. These rocks are

overlain by a package of alternating tuffs and tuffaceous sandstones. Hydrothermal alteration

osit includes silicification, chloritisation,

sericitisation and sulphidisation. The altered zones are typically irregularly shaped, and the degree of alteration is strongest in the core of the dome, decreasing towards the marginal

disseminated, breccia

gold mineralisation is confined to

ructure and lithology comprising

grade stockwork. The primary mineralisation has been overprinted by surface weathering processes, resulting in zones of

occurs as free grains, on sulphide boundaries

and with silica grains to a minor degree. The mineralisation style is considered to represent a

to subsamples: one subsample

was used in chemical analysis and mineralogical studies, and one subsample was used for flotation test work. The chemical and mineralogical characterisation tests were carried out at

in Finland and the locked cycle flotation tests

The detailed chemical assays include complete assays after total dissolution by inductively

and silver assays by fire assay

and sulphur and carbon contents were analyzed by combustion. In addition, the copper stage sequential copper phase assays procedure, described

s procedure enables the chemical

quantification of different copper sulphates, oxides, secondary copper sulphides and primary

copper sulfides by using the element to mineral conversion (EMC) method available in the

rals and their mode of occurrence were first

ray diffraction. Scanning electron microscopy and emission scanning electron

spectrometer (EDS) coupled with INCA-

Mineral liberation measurement software. The hardness of each ore type was determined

IMA-Daily Update

The results of mineralogical characterisation and the locked cycle flotation tests

reprocessed with the HSC Chemistry 9 Data module utilising linear regression analysis and

principal component analysis. This analysis of combined data revealed the occurrence of two

geometallurgical endmember ore types based on mineral compositi

• Chalcopyrite-dominant

• Chalcocite-dominant

The rest of the samples lie within these endmember types. The chalcopyrite

type represents less altered primary zones, and, with increasing alteration, the amount of

chalcocite and secondary copper oxides increases. The highest concentrate grades and

recoveries for both copper and gold were achieved from the chalcopyrite

and with increasing alteration both grades and recoveries deteriorate.

The simulations are based on the mineralogical and flotation test work data from the

Madneuli and Sakdrisi ore samples and a conceptual copper concentrator plant design. The

parameters (eg operating costs, treatment and refining charges, etc) used in the OreMet

Optimizer simulation included in the HSC Chemistry 9 Sim are of general nature and do not

represent any specific operations.

The processing of different ore types was assessed in terms of each ore’s metallurgical

response and economic revenue when mined and processed in a c

evaluation was carried out with the HSC Chemistry 9 Sim module. Cost factors for each step

starting from ore block extraction continuing through all the mining and concentrator plant

processing phases – were evaluated separately. T

calculated by means of the Net Smelter Return (NSR) formula. The economic revenue

evaluation tool, OreMet Optimizer module, is available and integrated with the HSC Sim

minerals processing flowsheet simulator. The concept

of a two-stage crushing section, semi

bulk flotation with subsequent re

The advantage of the HSC Sim flowshe

economic assessment tool is that the throughput and composition of each processing step is

obtained directly according to the simulated ore metallurgical response. Operating expenses

(OPEX) per throughput USD/ton of each processing stage are given or determined according

to ore processing characteristics. The value of the final concentrate is calculated using the Net

Smelter Return (NSR): NSR = ∑ Product values

Refining charge. The economic revenue for given size of ore block (or blended ore) with

predefined run of mine (ROM) feed rate is calculated by subtracting the total costs from the

NSR, giving the operating profit/loss for that running time period of the producti

The simulation runs included separate simulations for each geometallurgical ore type (GMO

A, B, C) and for various blends [Blend A(1/3)+B(1/3)+C(1/3), Blend A(½)+B(½), Blend

A(½)+C(½), Blend B(½)+C(½)]. The simulation run represents 24 h operation, tot

mining and treatment of 9,000 t of ore. The simulation results clearly demonstrate that the

variability in the mill feed has significant impact on the processing performance and

economics of the operations.

The results of mineralogical characterisation and the locked cycle flotation tests

reprocessed with the HSC Chemistry 9 Data module utilising linear regression analysis and

principal component analysis. This analysis of combined data revealed the occurrence of two

geometallurgical endmember ore types based on mineral composition and grindability:

The rest of the samples lie within these endmember types. The chalcopyrite

type represents less altered primary zones, and, with increasing alteration, the amount of

secondary copper oxides increases. The highest concentrate grades and

recoveries for both copper and gold were achieved from the chalcopyrite

and with increasing alteration both grades and recoveries deteriorate.

d on the mineralogical and flotation test work data from the

Madneuli and Sakdrisi ore samples and a conceptual copper concentrator plant design. The

parameters (eg operating costs, treatment and refining charges, etc) used in the OreMet

on included in the HSC Chemistry 9 Sim are of general nature and do not

represent any specific operations.

The processing of different ore types was assessed in terms of each ore’s metallurgical

response and economic revenue when mined and processed in a concentrator plant. The

evaluation was carried out with the HSC Chemistry 9 Sim module. Cost factors for each step

starting from ore block extraction continuing through all the mining and concentrator plant

were evaluated separately. The resulting concentrate value was

calculated by means of the Net Smelter Return (NSR) formula. The economic revenue

evaluation tool, OreMet Optimizer module, is available and integrated with the HSC Sim

minerals processing flowsheet simulator. The conceptual concentrator plant design consists

stage crushing section, semi-autogenous (SAG) and ball mill grinding, rougher Cu

bulk flotation with subsequent re-grinding, two-stage cleaner flotation and dewatering.

The advantage of the HSC Sim flowsheet simulation with integrated OreMet Optimizer

economic assessment tool is that the throughput and composition of each processing step is

obtained directly according to the simulated ore metallurgical response. Operating expenses

ton of each processing stage are given or determined according

to ore processing characteristics. The value of the final concentrate is calculated using the Net

∑ Product values – ∑ Penalty costs – ∑ Treatment charge

g charge. The economic revenue for given size of ore block (or blended ore) with

predefined run of mine (ROM) feed rate is calculated by subtracting the total costs from the

NSR, giving the operating profit/loss for that running time period of the producti

The simulation runs included separate simulations for each geometallurgical ore type (GMO

A, B, C) and for various blends [Blend A(1/3)+B(1/3)+C(1/3), Blend A(½)+B(½), Blend

A(½)+C(½), Blend B(½)+C(½)]. The simulation run represents 24 h operation, tot

mining and treatment of 9,000 t of ore. The simulation results clearly demonstrate that the

variability in the mill feed has significant impact on the processing performance and

Page 23

The results of mineralogical characterisation and the locked cycle flotation tests data were

reprocessed with the HSC Chemistry 9 Data module utilising linear regression analysis and

principal component analysis. This analysis of combined data revealed the occurrence of two

on and grindability:

The rest of the samples lie within these endmember types. The chalcopyrite-dominant ore

type represents less altered primary zones, and, with increasing alteration, the amount of

secondary copper oxides increases. The highest concentrate grades and

recoveries for both copper and gold were achieved from the chalcopyrite-dominant ore type

d on the mineralogical and flotation test work data from the

Madneuli and Sakdrisi ore samples and a conceptual copper concentrator plant design. The

parameters (eg operating costs, treatment and refining charges, etc) used in the OreMet

on included in the HSC Chemistry 9 Sim are of general nature and do not

The processing of different ore types was assessed in terms of each ore’s metallurgical

oncentrator plant. The

evaluation was carried out with the HSC Chemistry 9 Sim module. Cost factors for each step –

starting from ore block extraction continuing through all the mining and concentrator plant

he resulting concentrate value was

calculated by means of the Net Smelter Return (NSR) formula. The economic revenue

evaluation tool, OreMet Optimizer module, is available and integrated with the HSC Sim

ual concentrator plant design consists

autogenous (SAG) and ball mill grinding, rougher Cu–Au

stage cleaner flotation and dewatering.

et simulation with integrated OreMet Optimizer

economic assessment tool is that the throughput and composition of each processing step is

obtained directly according to the simulated ore metallurgical response. Operating expenses

ton of each processing stage are given or determined according

to ore processing characteristics. The value of the final concentrate is calculated using the Net

∑ Treatment charge – ∑

g charge. The economic revenue for given size of ore block (or blended ore) with

predefined run of mine (ROM) feed rate is calculated by subtracting the total costs from the

NSR, giving the operating profit/loss for that running time period of the production.

The simulation runs included separate simulations for each geometallurgical ore type (GMO

A, B, C) and for various blends [Blend A(1/3)+B(1/3)+C(1/3), Blend A(½)+B(½), Blend

A(½)+C(½), Blend B(½)+C(½)]. The simulation run represents 24 h operation, totaling

mining and treatment of 9,000 t of ore. The simulation results clearly demonstrate that the

variability in the mill feed has significant impact on the processing performance and

IMA-Daily Update

The operational costs for different ore typreflecting the variations in the Bond Work Index and energy consumption in grinding. The flotation test work showed significant variations in the recoveries and concentrate grades between ore types. As a result, operating profit for various geometallurgical ore types and blends.

The chalcopyrite-dominant ore type GMO A yields by far the highest NSR and operating profit, despite having the highest operating cothe second-highest NSR and operating profit, and the chalcopyriteGMO B provides the lowest NSR and operating profit.

The in-situ values of copper (US$6,000/t) and gold

• ~$50/t for GMO A

• ~$40/t for GMO B

• ~$39/t for GMO C

The differences in the NSR values between the geometallurgical ore types are far larger than the differences in the metal grades and inunderstanding of the mineralogy and processing performance as the key value drivers. In practice, it is not typical that various ore types are mined and processed separately. The simulated blending scenarios provide additional information for prod

Identifying the variability within an ore deposit and understanding the mineralogical composition and the metallurgical performance of the various ore types are key factors for efficient mining and minerals processing. The simulation of thextraction to payable product provides useful information on the value drivers of the deposit and operations. The example case demonstrates that the variability of the ore types, particularly on the mineralogical composition and prthe value generation by the operations.

Project or production planning that does not take into account mineralogical composition and metallurgical performance leads to nonfor the Ore Reserve estimation should consider not only the metal grades, but the mineral grades and the respective variability of the metallurgical performance.

This article is based on a conference paper presented at SAIMM Copper Cobalt Afric

Conference held in Livingstone, Zambia, July 9

BHP profit more than doubles to $12.2 billion as mine disaster impact

By business reporter

BHP has reported a better than doubling of its fullHowever, a large part of the 124 per cent rebound was driven by a lower financial impact from the 2015 Samarco dam collapse in Brazil, althougfrom the disaster hit the balance sheet.

The operational costs for different ore types vary between 14.2 and 15.2 USD/t, mainly reflecting the variations in the Bond Work Index and energy consumption in grinding. The flotation test work showed significant variations in the recoveries and concentrate grades between ore types. As a result, there are significant differences in the NSR values and operating profit for various geometallurgical ore types and blends.

dominant ore type GMO A yields by far the highest NSR and operating profit, despite having the highest operating costs. The chalcocite-dominant ore type GMO C produces

highest NSR and operating profit, and the chalcopyrite–chalcocite mixed ore type GMO B provides the lowest NSR and operating profit.

situ values of copper (US$6,000/t) and gold (US$1,300/t) contents are:

The differences in the NSR values between the geometallurgical ore types are far larger than the differences in the metal grades and in-situ values. This highlights the importancunderstanding of the mineralogy and processing performance as the key value drivers. In practice, it is not typical that various ore types are mined and processed separately. The simulated blending scenarios provide additional information for production planning.

Identifying the variability within an ore deposit and understanding the mineralogical composition and the metallurgical performance of the various ore types are key factors for efficient mining and minerals processing. The simulation of the whole value chain from extraction to payable product provides useful information on the value drivers of the deposit and operations. The example case demonstrates that the variability of the ore types, particularly on the mineralogical composition and processing performance, plays a key role in the value generation by the operations.

Project or production planning that does not take into account mineralogical composition and metallurgical performance leads to non-optimised operations. For example, the cutfor the Ore Reserve estimation should consider not only the metal grades, but the mineral grades and the respective variability of the metallurgical performance.

This article is based on a conference paper presented at SAIMM Copper Cobalt Afric

Conference held in Livingstone, Zambia, July 9-12, 2018

BHP profit more than doubles to $12.2 billion as mine disaster impact eases

By business reporter Stephen Letts

BHP has reported a better than doubling of its full-year profit to $US8.3 billion ($12.2 billion).However, a large part of the 124 per cent rebound was driven by a lower financial impact from the 2015 Samarco dam collapse in Brazil, although a further $US800 million impairment from the disaster hit the balance sheet.

Page 24

es vary between 14.2 and 15.2 USD/t, mainly reflecting the variations in the Bond Work Index and energy consumption in grinding. The flotation test work showed significant variations in the recoveries and concentrate grades

there are significant differences in the NSR values and

dominant ore type GMO A yields by far the highest NSR and operating profit, dominant ore type GMO C produces

chalcocite mixed ore type

(US$1,300/t) contents are:

The differences in the NSR values between the geometallurgical ore types are far larger than situ values. This highlights the importance of the

understanding of the mineralogy and processing performance as the key value drivers. In practice, it is not typical that various ore types are mined and processed separately. The

uction planning.

Identifying the variability within an ore deposit and understanding the mineralogical composition and the metallurgical performance of the various ore types are key factors for

e whole value chain from extraction to payable product provides useful information on the value drivers of the deposit and operations. The example case demonstrates that the variability of the ore types,

ocessing performance, plays a key role in

Project or production planning that does not take into account mineralogical composition and optimised operations. For example, the cut-off grades

for the Ore Reserve estimation should consider not only the metal grades, but the mineral

This article is based on a conference paper presented at SAIMM Copper Cobalt Africa – 9th Base Metals

BHP profit more than doubles to $12.2 billion as mine disaster impact

year profit to $US8.3 billion ($12.2 billion). However, a large part of the 124 per cent rebound was driven by a lower financial impact

h a further $US800 million impairment

IMA-Daily Update

Underlying earnings - stripping out exceptional gains and losses, such as the Samarco cost came in at $US9.1 billion ($13.4 billion), marginally lower than analyst expectation

Iron ore was the stand out performer for the company, with its $US11.1 billion in preearnings representing almost half of the company's profits.

However, from an operational point of view, BHP's investors would be disappointed with lower production across its key portfolio of commodities, given the big investments the company has made in recent years to improve efficiency.

• WA iron ore: 270 million tonnes in 2019, down from 275 million tonnes in 2018 (

• Metallurgical coal: 42 million tonnes in 20

• Thermal coal: 27 million tonnes in 2019, down from 29 million tonnes in 2018 (

• Copper: 1,689 thousand tonnes in 2019, down from 1,753 thousand tonnes in 2018 (

• Nickel: 87 thousand tonnes in 2019, dow

BHP chief executive Andrew Mackenzie defended the production results, noting that over the past five years volumes had increased by 10 per cent and unit costs cut by more than 20 per cent.

"Over the 2019 financial year, underlying improvements in our operational performance were offset by the impacts of weather, resource headwinds and unplanned outages," he said.

The performance was dragged down not only by the year and an iron ore train derailmentgrades and aging oil fields off the US coast.

BHP paid a record full-year dividend of $US1.33 per share ($1.96), propped up by a special dividend from the $US10.4 billion ($15.4 billion) proceeds from the sale of US onshore oil and gas operations, which was pumped straight back to shareholders.

Mr Mackenzie said global economic growth was likely to edge down next year, with the possibility of increased trade protecweigh on commodity demand and prices.

He said China's growth was expected to slow "modestly".

"The negative impact of weaker exports is expected to be offset by easier monetary and fiscal policies.

"The US performed strongly in the 2018 calendar year, but near term prospects are less certain. The expansionary impact of tax cuts is expected to progressively fade and trade policies remain uncertain."

Despite those trade worries, Mr Mackenzie said productput the company in a strong position.

"Higher prices and record production from several of our operations contributed to strong operating cash flows. We used that cash to invest in attractive growth projects, advance ouexploration programs and increase returns to shareholders," he added.

Shares slide

JP Morgan analyst Lydon Fagan said forward guidance in terms of production and further spending were inline with expectations.

stripping out exceptional gains and losses, such as the Samarco cost came in at $US9.1 billion ($13.4 billion), marginally lower than analyst expectation

Iron ore was the stand out performer for the company, with its $US11.1 billion in preearnings representing almost half of the company's profits.

However, from an operational point of view, BHP's investors would be disappointed with across its key portfolio of commodities, given the big investments the

company has made in recent years to improve efficiency.

WA iron ore: 270 million tonnes in 2019, down from 275 million tonnes in 2018 (

Metallurgical coal: 42 million tonnes in 2019, down from 43 million tonnes in 2018 (

Thermal coal: 27 million tonnes in 2019, down from 29 million tonnes in 2018 (

Copper: 1,689 thousand tonnes in 2019, down from 1,753 thousand tonnes in 2018 (

Nickel: 87 thousand tonnes in 2019, down from 91 thousand tonnes in 2018 (

BHP chief executive Andrew Mackenzie defended the production results, noting that over the past five years volumes had increased by 10 per cent and unit costs cut by more than 20 per

ear, underlying improvements in our operational performance were offset by the impacts of weather, resource headwinds and unplanned outages," he said.

The performance was dragged down not only by the impact of Cyclone Veronicairon ore train derailment in the Pilbara in November, but also by falling copper

grades and aging oil fields off the US coast.

year dividend of $US1.33 per share ($1.96), propped up by a special billion ($15.4 billion) proceeds from the sale of US onshore oil and

gas operations, which was pumped straight back to shareholders.

Mr Mackenzie said global economic growth was likely to edge down next year, with the possibility of increased trade protectionism and a loss of the business confidence likely to weigh on commodity demand and prices.

He said China's growth was expected to slow "modestly".

"The negative impact of weaker exports is expected to be offset by easier monetary and fiscal

he US performed strongly in the 2018 calendar year, but near term prospects are less certain. The expansionary impact of tax cuts is expected to progressively fade and trade

Despite those trade worries, Mr Mackenzie said productivity investments over the years had put the company in a strong position.

"Higher prices and record production from several of our operations contributed to strong operating cash flows. We used that cash to invest in attractive growth projects, advance ouexploration programs and increase returns to shareholders," he added.

JP Morgan analyst Lydon Fagan said forward guidance in terms of production and further spending were inline with expectations.

Page 25

stripping out exceptional gains and losses, such as the Samarco cost - came in at $US9.1 billion ($13.4 billion), marginally lower than analyst expectations.

Iron ore was the stand out performer for the company, with its $US11.1 billion in pre-tax

However, from an operational point of view, BHP's investors would be disappointed with across its key portfolio of commodities, given the big investments the

WA iron ore: 270 million tonnes in 2019, down from 275 million tonnes in 2018 (-2pc)

19, down from 43 million tonnes in 2018 (-1pc)

Thermal coal: 27 million tonnes in 2019, down from 29 million tonnes in 2018 (-6pc)

Copper: 1,689 thousand tonnes in 2019, down from 1,753 thousand tonnes in 2018 (-6pc)

n from 91 thousand tonnes in 2018 (-6pc)

BHP chief executive Andrew Mackenzie defended the production results, noting that over the past five years volumes had increased by 10 per cent and unit costs cut by more than 20 per

ear, underlying improvements in our operational performance were offset by the impacts of weather, resource headwinds and unplanned outages," he said.

impact of Cyclone Veronica earlier this in the Pilbara in November, but also by falling copper

year dividend of $US1.33 per share ($1.96), propped up by a special billion ($15.4 billion) proceeds from the sale of US onshore oil and

Mr Mackenzie said global economic growth was likely to edge down next year, with the tionism and a loss of the business confidence likely to

"The negative impact of weaker exports is expected to be offset by easier monetary and fiscal

he US performed strongly in the 2018 calendar year, but near term prospects are less certain. The expansionary impact of tax cuts is expected to progressively fade and trade

ivity investments over the years had

"Higher prices and record production from several of our operations contributed to strong operating cash flows. We used that cash to invest in attractive growth projects, advance our

JP Morgan analyst Lydon Fagan said forward guidance in terms of production and further

IMA-Daily Update

"Overall we believe it was a relatively cleaoverlook," Mr Fagan said.

However, RBC's Paul Hissey said higher costs in the result were disappointing.

"[It was a] softer underlying result versus our estimates and consensus could see underperformance in trading versus peers," Mr Hissey said.

"Overall, this was a softer underlying result relative to both our estimates and consensus.

"The result appears to be largely driven by higher costs at Queensland coal, as well as general cost increases in the petroleum and copper divisions."

Investors were not all that impressed with their first glance at the results, with BHP shares

sliding 1.6 per cent to $35.70 in early trade.

China slowdown knocks Asia coal price to 3

THE PRICE of coal used in power stations in Asia has fallen to its lowest level in three years

due to fading demand in India and China, the two biggest coal consumers, said the Times.

Having surged to $120 a ton last summer, the Australian benchmark seaborne price of thermal coal has fallen 44% to $61 a ton, according to S&P Platts. Coal’s fall is being driven by slower growth in power demand in China, the world’supplies of the fuel, said FT analysts.

The slump comes as coal faces increasing competition around the world from cleaner, renewable energy such as wind and solar, as well as cheap natural gas. Coal’s weakness ilikely to hit earnings for the largest coal miners including Glencore, Anglo American and BHP Billiton. Shares in Glencore, which relies on thermal coal for almost one

have dropped 20% this year.♦

West Wits Mining secures funds as trading to recommence todayThe company is focused on conglomerate gold in South Africa’s Witwatersrand basin and

WEST Wits Mining Ltd (ASX:WWI

the company completed a capital raising from sophisticated investors yesterda

"Overall we believe it was a relatively clean, inline result which the market will largely

However, RBC's Paul Hissey said higher costs in the result were disappointing.

"[It was a] softer underlying result versus our estimates and consensus could see underrading versus peers," Mr Hissey said.

"Overall, this was a softer underlying result relative to both our estimates and consensus.

"The result appears to be largely driven by higher costs at Queensland coal, as well as general um and copper divisions."

Investors were not all that impressed with their first glance at the results, with BHP shares

sliding 1.6 per cent to $35.70 in early trade.♦

China slowdown knocks Asia coal price to 3-year low

of coal used in power stations in Asia has fallen to its lowest level in three years

due to fading demand in India and China, the two biggest coal consumers, said the

Having surged to $120 a ton last summer, the Australian benchmark seaborne price of thermal coal has fallen 44% to $61 a ton, according to S&P Platts. Coal’s fall is being driven by slower growth in power demand in China, the world’s largest coal consumer, as well as ample

FT analysts.

The slump comes as coal faces increasing competition around the world from cleaner, renewable energy such as wind and solar, as well as cheap natural gas. Coal’s weakness ilikely to hit earnings for the largest coal miners including Glencore, Anglo American and BHP Billiton. Shares in Glencore, which relies on thermal coal for almost one

West Wits Mining secures funds as trading to recommence todayThe company is focused on conglomerate gold in South Africa’s Witwatersrand basin and

WA’s Pilbara region. By Amanda Ellis

ASX:WWI) shares will recommence trading today on the ASX

the company completed a capital raising from sophisticated investors yesterda

Page 26

n, inline result which the market will largely

However, RBC's Paul Hissey said higher costs in the result were disappointing.

"[It was a] softer underlying result versus our estimates and consensus could see under-

"Overall, this was a softer underlying result relative to both our estimates and consensus.

"The result appears to be largely driven by higher costs at Queensland coal, as well as general

Investors were not all that impressed with their first glance at the results, with BHP shares

year low

of coal used in power stations in Asia has fallen to its lowest level in three years

due to fading demand in India and China, the two biggest coal consumers, said the Financial

Having surged to $120 a ton last summer, the Australian benchmark seaborne price of thermal coal has fallen 44% to $61 a ton, according to S&P Platts. Coal’s fall is being driven by

s largest coal consumer, as well as ample

The slump comes as coal faces increasing competition around the world from cleaner, renewable energy such as wind and solar, as well as cheap natural gas. Coal’s weakness is likely to hit earnings for the largest coal miners including Glencore, Anglo American and BHP Billiton. Shares in Glencore, which relies on thermal coal for almost one-fifth of its earnings,

West Wits Mining secures funds as trading to recommence today The company is focused on conglomerate gold in South Africa’s Witwatersrand basin and

) shares will recommence trading today on the ASX after

the company completed a capital raising from sophisticated investors yesterday.

IMA-Daily Update

The Victorian company raised a final $735,000 sum yesterday from highallowing its expected return to trading this morning.

Explorer West Wits launched the capital raising lastmillion ordinary shares at a 0.6 cent issue price.

Conglomerate gold-focused West Wits expects the cap raise will allow it to focus on its planned activities as it expects a mining right grant for its Witwatersrand Gold Project in South Africa, perhaps by September 2019.

The company also has assets in the Paterson province of WA’s prospective Pilbara region and hopes to unlock value in Indonesia at another gold project, Derewo River.

West Wits’ projects in the Pilbara includes the Mt Cecelia Gold Project, which is 70 kilometrwest of Rio Tinto's (ASX:RIO) Winu copper

(ASX:RTE) Braeside project.♦

Glencore could do for cobalt what it did for zinc

THE PRICE of cobalt is up 18% over the last two weeks after Glencore announced it is halting

operations at its Mutanda copper

Considering that Mutanda is the world’s largest cobalt mine and responsible for a fifth of global output in a market of just 135kt per year, the response has been fairly muted. And at

$31,500 a tonne, the commodity is still trading some two

in March last year.

cobalt market and we now forecast the market to be in a small deficit in 2020 and 2021.

The Victorian company raised a final $735,000 sum yesterday from highallowing its expected return to trading this morning.

Explorer West Wits launched the capital raising last week, receiving commitments for 122.5 ares at a 0.6 cent issue price.

focused West Wits expects the cap raise will allow it to focus on its planned activities as it expects a mining right grant for its Witwatersrand Gold Project in South Africa, perhaps by September 2019.

company also has assets in the Paterson province of WA’s prospective Pilbara region and hopes to unlock value in Indonesia at another gold project, Derewo River.

West Wits’ projects in the Pilbara includes the Mt Cecelia Gold Project, which is 70 kilometr's (ASX:RIO) Winu copper-gold discovery and near Rumble Resources Ltds

Glencore could do for cobalt what it did for zinc – double Frik Els

of cobalt is up 18% over the last two weeks after Glencore announced it is halting

operations at its Mutanda copper-cobalt mine in the Congo – until at least 2021.

that Mutanda is the world’s largest cobalt mine and responsible for a fifth of global output in a market of just 135kt per year, the response has been fairly muted. And at

$31,500 a tonne, the commodity is still trading some two-thirds below near 10

A new report by urges cobalt bulls to be patient,

pointing to Glencore’s similar

action in 2015 to shore up the zinc

market, which lea

the price in fewer than three years.

Ross Strachan, senior commodities

economist at Capital Economics,

predicts a near doubling in the

price by end-2021 from the level before the Mutanda care and

maintenance news:

We think that this min

will eradicate the surplus in the cobalt market and we now forecast the market to be in a small deficit in 2020 and 2021.

Page 27

The Victorian company raised a final $735,000 sum yesterday from high-quality investors,

week, receiving commitments for 122.5

focused West Wits expects the cap raise will allow it to focus on its planned activities as it expects a mining right grant for its Witwatersrand Gold Project in

company also has assets in the Paterson province of WA’s prospective Pilbara region and hopes to unlock value in Indonesia at another gold project, Derewo River.

West Wits’ projects in the Pilbara includes the Mt Cecelia Gold Project, which is 70 kilometres gold discovery and near Rumble Resources Ltds

double the price

of cobalt is up 18% over the last two weeks after Glencore announced it is halting

until at least 2021.

that Mutanda is the world’s largest cobalt mine and responsible for a fifth of global output in a market of just 135kt per year, the response has been fairly muted. And at

thirds below near 10-year peaks hit

A new report by Capital Economics urges cobalt bulls to be patient,

pointing to Glencore’s similar

action in 2015 to shore up the zinc

market, which lead to a doubling of

the price in fewer than three years.

Ross Strachan, senior commodities

economist at Capital Economics,

predicts a near doubling in the

2021 from the level before the Mutanda care and

maintenance news:

We think that this mine closure

will eradicate the surplus in the cobalt market and we now forecast the market to be in a small deficit in 2020 and 2021.

IMA-Daily Update

Crucially this is underpinned by strong demand due to our expectation of rapid growth in electric vehicle production.

This will offset the increase in supply from the existing pipeline of projects, including Glencore’s Katanga, and a likely upturn in artisanal mining, which had slumped this year in conjunction with the price.

London-based Capital Economics predicts cobalt to add another $10,000 by the end of 2021.

However, the independent research company cautions that the price is unlikely to return to

its 2018 peaks, as Glencore would re

Palladium deficit to widen, Nornickel says as net profit jumps 81%

THE GLOBAL palladium market will remain in structural deficit this year, Russia's Norilsk

Nickel (Nornickel) said on Tuesday as it reported an 81% leap in first

Nornickel, the world's largest palladium producer, said that first

billion as London palladium prices rose by 40%. Palladium prices hit a three

London on Tuesday.

Higher prices for palladium and increased output offset a decline in prices for nickel, copper and platinum amid concerns over US

economy, Nornickel President and co

The company expects a global palladium deficit of 600,000 troy ounces for 2019 because of growing demand from the autos sector on the back of tighter emission regulations in all

major markets. Palladium is used mainly in emissions

automobiles.

Nornickel, vying with Brazil's Vale to be the world's biggest nickel producer, said it expects the global nickel deficit to narrow to 60,000 tonnes in 2019, with Indonesia and China

increasing their nickel pig iron

Shares in Nornickel rose by 2.3% in Moscow, outperforming a 0.9% gain for the broader index on its financial results and stronger than expected dividends thanks to higher revenue

and lower costs, BCS Global Markets analysts said in a note.

Given its $2.2 billion free cash flow, Nornickel recommended an interim dividend of 883.93

roubles ($13.27) per share, equating to $2.1 billion in total.

Nornickel is part owned by Potanin and aluminium producer Rusal.

Its first-half capital expenditure was

Crucially this is underpinned by strong demand due to our expectation of rapid growth in

will offset the increase in supply from the existing pipeline of projects, including Glencore’s Katanga, and a likely upturn in artisanal mining, which had slumped this year in

based Capital Economics predicts cobalt to reach $40,000 by the end of next year and add another $10,000 by the end of 2021.

However, the independent research company cautions that the price is unlikely to return to

its 2018 peaks, as Glencore would return to the market before then.♦

Palladium deficit to widen, Nornickel says as net profit jumps 81%By: Reuters

palladium market will remain in structural deficit this year, Russia's Norilsk

on Tuesday as it reported an 81% leap in first-half net profit.

Nornickel, the world's largest palladium producer, said that first-half net profit jumped to $3

billion as London palladium prices rose by 40%. Palladium prices hit a three

Higher prices for palladium and increased output offset a decline in prices for nickel, copper and platinum amid concerns over US-China trade negotiations and a slowdown in the global

economy, Nornickel President and co-owner Vladimir Potanin said in a statement.

The company expects a global palladium deficit of 600,000 troy ounces for 2019 because of growing demand from the autos sector on the back of tighter emission regulations in all

major markets. Palladium is used mainly in emissions-capping catalytic converters for

Nornickel, vying with Brazil's Vale to be the world's biggest nickel producer, said it expects the global nickel deficit to narrow to 60,000 tonnes in 2019, with Indonesia and China

(NPI) output.

Shares in Nornickel rose by 2.3% in Moscow, outperforming a 0.9% gain for the broader index on its financial results and stronger than expected dividends thanks to higher revenue

and lower costs, BCS Global Markets analysts said in a note.

iven its $2.2 billion free cash flow, Nornickel recommended an interim dividend of 883.93

roubles ($13.27) per share, equating to $2.1 billion in total.

Nornickel is part owned by Potanin and aluminium producer Rusal.

half capital expenditure was unchanged from a year ago at $500 million.

Page 28

Crucially this is underpinned by strong demand due to our expectation of rapid growth in

will offset the increase in supply from the existing pipeline of projects, including Glencore’s Katanga, and a likely upturn in artisanal mining, which had slumped this year in

reach $40,000 by the end of next year and

However, the independent research company cautions that the price is unlikely to return to

Palladium deficit to widen, Nornickel says as net profit jumps 81%

palladium market will remain in structural deficit this year, Russia's Norilsk

half net profit.

half net profit jumped to $3-

billion as London palladium prices rose by 40%. Palladium prices hit a three-week high in

Higher prices for palladium and increased output offset a decline in prices for nickel, copper China trade negotiations and a slowdown in the global

said in a statement.

The company expects a global palladium deficit of 600,000 troy ounces for 2019 because of growing demand from the autos sector on the back of tighter emission regulations in all

ing catalytic converters for

Nornickel, vying with Brazil's Vale to be the world's biggest nickel producer, said it expects the global nickel deficit to narrow to 60,000 tonnes in 2019, with Indonesia and China

Shares in Nornickel rose by 2.3% in Moscow, outperforming a 0.9% gain for the broader index on its financial results and stronger than expected dividends thanks to higher revenue

iven its $2.2 billion free cash flow, Nornickel recommended an interim dividend of 883.93

unchanged from a year ago at $500 million.

IMA-Daily Update

Nornickel also said that 2019 total capital expenditure is expected to reach up to $2.2

as its Talnakh concentrator and South Cluster mining projects enter the active construction

phase in the second half of 2019.

The company's first-half earnings before interest, tax, depreciation and amortisation

(EBITDA) totalled $3.7 billion, up 21% year on year, on revenue that rose 8% to $6.3 billion.

Nornickel also said that 2019 total capital expenditure is expected to reach up to $2.2

as its Talnakh concentrator and South Cluster mining projects enter the active construction

of 2019.

half earnings before interest, tax, depreciation and amortisation

(EBITDA) totalled $3.7 billion, up 21% year on year, on revenue that rose 8% to $6.3 billion.

Page 29

Nornickel also said that 2019 total capital expenditure is expected to reach up to $2.2-billion

as its Talnakh concentrator and South Cluster mining projects enter the active construction

half earnings before interest, tax, depreciation and amortisation

(EBITDA) totalled $3.7 billion, up 21% year on year, on revenue that rose 8% to $6.3 billion.♦